The Indian pipe is not a fungus, but a flowering plant related to the dogwood, evergreen laurel, and rhododendron.
It's a saprophyte, living chiefly on the decaying roots of other plants, particularly trees. Indian pipes are most often found near a dead stump in deep woods.
The plant's flesh turns black when cut or even bruised. It also oozes a clear, gelatinous substance when picked or wounded, hence the names ghost flower and corpse plant. Indians employed it as an eye lotion and for colds and fevers. Early Americans used it for spasms, fainting spells, and nervous conditions.
I just like to take pictures of it ;-)