Elaphomyces readii is presented as a new species to science based on morphological and molecular evidence. The new species is characterized mainly by the pale brown rugose ascomata, yellowish to reddish brown hues in the proximity to the gleba, dark purple gleba and ascospores 20–57 µm in diameter. Elaphomyces readii is morphologically similar to E. papillatus and E. muricatus but differs in the ascospore size and phylogenetical location. Further, E. readii is sold in traditional markets in the state of Oaxaca, southeastern Mexico as a medicinal fungus consumed to heal wounds, internal bleeding, and external injuries. Morphological descriptions, SEM ornamentation spores and nrITS-based phylogenetic analysis using maximum parsimony, maximum likelihood method and Bayesian inference support the proposal of this new species.