Ingesting these fungi produces intense hallucinations in the user. Mushrooms containing the chemical psilocybin are considered to be ‘magic’ mushrooms. So what is it really? What are Psychedelic Mushrooms? It is also considered to be one of the least dangerous narcotics that you can ingest. Shrooms, or magic mushrooms are a commonly recognized, natural hallucinogen. For individuals in tune with drug culture, the aesthetic of bright, colorful mushrooms can be found on posters, t-shirts and on album covers of CDs and records.