Additionally, no bipolar or amphithallic taxa in this genus have been reported, which is unexpected, as this mating behavior is common for tropical agarics, by allowing rapid colonizations.

[5] Species of Marasmiellus are distributed around tropical and sub-tropical forested areas around the world, where they play a significant ecological role by being saprotrophic, degrading leafy and woody remains.

Some species are parasitic and attack certain plants that are economically important, such as sugar cane, maize, bananas, and coconut palms.

[4] Marasmiellus was traditionally included in Tricholomataceae R. Heim ex Pouzar,[8] but later DNA studies showed that parts of the genus belong to Omphalotaceae, which was described by A. Bresinsky in 1985.

The most recent studies have shown that the second hypothesis is the strongest, placing Marasmiellus as a separate genus, but more research is required to confirm this.