Distributed in eastern North America, it has a medium-sized, bell-shaped to flattened cap up to 7.5 cm (3.0 in) in diameter, with felt-like, patchy scales.

In 1979, W. Patrick published a comparative analysis of the three taxa from material collected by Peck, and, after concluding that the three were not sufficiently distinct to be considered separate species, reduced them to synonymy with Coprinopsis variegata, the earliest name.

[14] The specific epithet variegata derives from the Latin passive verb participle variegatus meaning "to have different colors, to variegate".

[15] The synonym name quadrifidus refers to the four segments into which the cap frequently split when mature,[3] while ebulbosus means "not being bulbous".

[17] The cap of C. variegata is thin, initially oval-shaped then bell-shaped, and then flattened with the margin turned upward; it reaches diameters of up to 12 in (30.5 cm).

The pleurocystidia (cystidia present on the gill face) are abundant, roughly cylindrical, hyaline, and measure 100–150 by 20–35 μm.

Cheilocystidia (cystidia on the edge of an gill) are present in young specimens, and are roughly ellipsoid, measuring 50–80 by 15–25 μm.

One 1987 field guide to North American species warns against consumption, calling it "not recommended",[17] a conclusion shared in a 2006 field guide to Pennsylvanian and mid-Atlantic mushrooms, but not before describing it as "the best of the inky caps, with a richer flavor and better texture than the famous shaggy mane".

[27] Coprinopsis atramentaria is a cosmopolitan species that is roughly similar in size, color, and stature, but does not have patchy woolly tufts on the cap like C. variegata.

[28] The species is saprobic—deriving nutrients by decomposing and digesting organic matter—and grows in clusters or in groups on decaying leaf litter or well-decayed wood.

The fungus achieves this by growing specialized hyphae in the direction of the bacteria, sensing them with some chemoattractive mechanism not yet fully understood.