Mushroom

Mushrooms spawn randomly on above-ground grass. They can be eaten for 15 health restoration, or used at an Alchemy Station along with two Gel and two Bottles to craft Lesser Healing Potion, which restores 50 health. Players who use the potion hotkey may consume these by accident if they are in an inventory slot before the actual healing potion, so it is desirable to keep all preceding slots full or keep a permanent stack of mushrooms in a later slot.

Farming
Strips of dirt can be placed and connected to grass, or grass can be spawned using Grass Seeds purchased from the Dryad. Grass can also be placed using the Staff of Regrowth.

Only one tile of vertical clearance is required, so dirt strips can be placed close together in groups of three (more than that and you may not be able to harvest them), one tile apart vertically. Mushrooms will not grow if there is any type of wall behind them, so make sure the sky is visible behind the dirt strips.

Mushrooms do not require water. They can spawn while on-screen, unlike Trees.

With the new dart trap mechanism, farms can be automated to some degree. The dart trap(s) can be linked to a pressure plate at the farm's entrance or a timer. a launched dart will cut all grass, mushrooms, etc, that it comes into contact with, allowing the player to run across the farm and grab the dropped mushrooms without a single swing of their sword.

Trivia
The mushroom's color may be a reference to the mushrooms in the 80s Super Mario Bros.

History
Champignon Mushroom Mushroom Гриб