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From ancient times, humans have used mushrooms in different forms. Mushrooms have found their way into multiple cuisines, medicines, and other vital aspects of our lives. We have discovered and worked on different species of mushrooms. Some species of Clitocybe have not found their way into the research as they are poisonous. Many species of Clitocybe have not been studied for their therapeutically critical bioactive compounds. In this review, we have focused on the benefits of the compounds extracted from different species of Clitocybe. The compounds present in Clitocybe have been confirmed to have a wide range of beneficial effects, including antitumor, bacteriostatic, antifungal, antiviral, anti-inflammatory, antioxidant, antiaging, antidiabetic, hypoglycemic, immune stimulant, antiproliferative, neuroprotective, cardioprotective and chemopreventive properties. It has also found its way into the food industry with notable characteristics such as milk-coagulant, flavorings agent, organic food preservative, and yeast culture. There are studies confirming the use of compounds extracted from different species of Clitocybe as biological pest control. [ABSTRACT FROM AUTHOR]