Wood decay fungi are a group of fungi that break down wood and other plant materials. They play a crucial role in ecosystems by recycling nutrients and returning them to the soil. These fungi can be found in various environments, including forests and urban areas, where they thrive on dead or decaying wood. There are three main types of wood decay fungi: brown rot, white rot, and soft rot. Each type has a different method of breaking down wood. Brown rot primarily degrades cellulose, leaving behind a brown, crumbly residue, while white rot breaks down both cellulose and lignin, resulting in a lighter, more fibrous material.