Hypholoma capnoides is an edible mushroom which like its poisonous or suspect relatives H. fasciculare ("Sulphur Tuft") and H. sublateritium ("Brick Caps") grows on decaying wood, for example in tufts on old tree stumps. Anyone thinking to eat this mushroom needs to be able to distinguish it from Sulphur Tuft, which is more common in many areas. H. capnoides has greyish gills due to the dark color of its spores, whereas Sulphur Tuft has greenish gills. It could also perhaps be confused with the deadly Galerina marginata or the good edible Kuehneromyces mutabilis.
Mostly taken from the German page.