Geopora arenicola is a small, hypogeous to semi-subterranean cup fungus with a pale, hairy exterior and smooth interior, growing in sandy soils. It inhabits sandy, well-drained soils of coastal dunes, sandy heathlands, and dry grasslands in temperate Europe. This ectomycorrhizal or saprotrophic fungus decomposes organic matter in nutrient-poor sandy substrates.