Fungi produces kojic, which can ultimately stop the production of melanin, the pigment responsible for hair, skin and eye color. It is antimicrobial, antiviral, anti-tumor, anti-diabetic and anti-parasitic as well as antioxidant and anti-inflammatory. It is used as a skin-lightening agent in cosmetic creams, lotions and soaps and can protect against UV rays. It is seen to lessen discoloration caused by scars and is seen to have anti-fungal and anti-aging effects.