Mushrooms come in tens of thousands of different varieties, from the button and portobello mushrooms you find at the grocery store, to mushrooms that are poisonous or contain psychoactive compounds. Certain types of mushrooms–known as functional mushrooms–have also been linked to various health benefits ranging from stress reduction, stimulating the immune system to potential anti-cancer or anti-aging properties.
What are Functional Mushrooms
Functional mushrooms (also referred to as medicinal mushrooms in research) refer to nutrient-rich mushroom-types used in functional medicine and are not psychedelic. They are distinguished by their adaptogenic properties that offer support beyond nutritional value for immune system health, stress response, and brain health. They exhibit a broad spectrum of pharmacological activity and have been used for thousands of years as both food and medicine.
Common Types of Functional Mushrooms
- Reishi – Reishi mushrooms contain a wide range of compounds including proteins, carbohydrates, triterpenes, and minerals and may help with immune system support.
- Lion’s Mane – One of the most popular edible wild mushrooms across North America, Lion’s Maine are rich in vitamins such as thiamine, riboflavin, and niacin. They are also a good source of essential minerals such as manganese, zinc, and potassium.
- Turkey Tail – Turkey tail mushrooms contain compounds known as polysaccharopeptide (PSP) and polysaccharide-K (PSK).
- Cordyceps – Cordyceps mushrooms have been studied for its adaptogenic, immune, and energy supporting properties.
- Chaga – Chaga mushrooms are packed with antioxidants and rich in beta-glucans.
- Shiitake – Shiitake mushrooms contain essential macro and micronutrients as well as many bioactive compounds, including polysaccharides, antioxidants, dietary fiber, and ergosterol.
Potential Benefits of Functional Mushrooms
Mushrooms today are important sources of bioactive compounds and are touted to have many benefits, including:
- Support a healthy immune system
- Promote a healthier gut
- Improve or support cognitive function
- Stress management
- Boost energy and enhance endurance
- Lower bad cholesterol in the body
Are Functional and Adaptogenic Mushrooms the Same?
No – adaptogenic mushrooms are a subset of functional mushrooms known for their ability to help the body adapt to physical, mental, or environmental stress. Functional mushrooms have a wider range of potential benefits while adaptogenic mushrooms interact with the body’s stress response system, helping to regulate hormones like cortisol. Reishi and Lion’s Mane are both functional and adaptogenic mushrooms.
In short – All adaptogenic mushrooms are functional mushrooms, but not all functional mushrooms are adaptogens.
Functional Mushrooms Market Trends
With so many types of mushrooms, and so many uses, it is no surprise that the functional mushroom market has experienced remarkable growth in the last several years, reaching a projected $38 billion in 2025. Teas and powders are the most popular, but companies are constantly coming up with new products, adding functional mushrooms to everything from coffee and gummy supplements to lotions and skin creams.
Product Liability Risk Exposures for Functional Mushrooms
As with other health and nutrition products, the main risk exposure with functional mushrooms comes from bodily injury that may occur as a result of allergic reactions or product contamination.
Functional mushrooms have a short shelf life of one to three days because of the high water content in them. As a result, post-harvest transportation and storage are essential for a functional mushroom value chain.
While growers, processors, and related businesses must follow FDA guidelines to ensure product safety, the FDA does not test the purported health claims of the products or require preclearance before new products are made available to the public. Businesses must also be careful not to engage in deceptive labeling or advertising by overpromising the health benefits of new products.
Functional Mushrooms & Cannabinoids
Because functional mushrooms can offer similar health benefits to different types of cannabinoids such as Delta 8 and CBD, some manufacturers have developed products that include functional mushrooms and cannabinoids. While this may not significantly impact the risk exposure, products containing CBD and other non-psychoactive cannabinoids must have testing procedures in place to ensure the product does not contain more than 0.3% THC.
Because functional mushrooms can offer similar health benefits to different types of cannabinoids such as Delta 8 and CBD, some manufacturers have developed products that include both ingredients. While this may not significantly impact the risk exposure, products containing CBD and other non-psychoactive cannabinoids must have testing procedures in place to ensure the product does not contain more than 0.3% THC.
Related Blog: CBD Industry Trends and Insights
Functional Mushroom Expertise
With so many new products being created from so many different types of mushrooms with potential health benefits, it helps to have a dedicated team of experts who are up on the latest industry trends.
Our dedicated national underwriting team at Admiral has exceptional expertise in health, nutrition, and lifestyle products. We understand the risk exposures and can provide our brokers with coverage solutions. If you are a retail agent or broker, locate an Admiral wholesale partner. If you are a wholesaler, contact us about becoming a premier partner.
