
INaturalist says this is Cladonia chlorophaea, Mealy Pixie Cups. And yes, lichen do have fruiting bodies, and this is they. Teensy and adorable.

Gorgeous flowers. Happy bees. Invasive shrub. Two out of three ain’t bad 🙄
Actually, this species has something going for it besides its beauty—it is noted for its antibacterial and antifungal properties. Research conducted by the University of KwaZulu-Natal found that aqueous extracts of P. myrtifolia are effective against Candida albicans, the yeast that causes candidiasis or thrush.