Conocybe filaris is a heterotrophic organism and gets its nutrients from eating and decomposing other organisms, otherwise known as a detrivore. It does this, like most other fungi, through a vast network of hair-like hyphae, these hyphae produce exo-enzymes that breakdown any substrate that the organism wishes to consume into nutrients that are usable by the fungi. These exo-enzymes actually digest a substrate, and break it down on the outside of the hyphal tips and THEN absorb the nutrients derived from it. This process is opposite of most other organisms that first consume something, and THEN break it down into workable nutrients. Once the hyphal tips absorb the digested nutrients it grows into the area that it just digested and repeats the process of eating.

Fungal mycelium
Mycelium. Taken by Rob Hille, used by permission. 9/9/2011

Pictured above is hair-like fungal mycelium.