Panaeolus mushrooms are mostly dung and grassland species, some of which are quite common in Europe and North America. The gills of Panaeolus do not deliquesce as do the members of the related genera Coprinellus and Coprinopsis.
Do not use this information to pick mushrooms in the wild. No Panaeolus are used as a food source although approximately 11 to 13 of the species contain the hallucinogen psilocybin and the bluing hallucinogenic members of this genus are sometimes segregated into a separate genus, Copelandia. It is suspected that a number of other members of this genus contain unidentified psychoactive compounds.
It should be noted that although these different strains do possess different concentrations of psilocybin and psilocin, factors such as dosage, set, and setting are arguably more determinant of the outcome of effects experienced. Read Frshminds’ article “Understanding and Measuring Magic Mushroom Potency” to learn more.