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what is a dried oyster mushroom? These fan-shaped mushrooms can be found growing in overlapping tiers–like tiles–on dead or dying trees in the woods. They are incredibly tender, melt in your mouth and have a slight peppery flavor. how to eat Dried mushrooms have a more concentrated flavor than fresh. Always soak dried mushrooms in VERY hot water for 20 minutes or until soft before using. Do not use before rehydrating. Use mushrooms and strained broth in soups, sautées, sauces, stir-frys or in any dish calling for fresh mushrooms. health benefits Both fresh and dried mushrooms contain unique compounds that are believed to boost your immune defense.