No, fungi are not only asexual. Fungi can reproduce both sexually and asexually.
Here's a breakdown:
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Asexual Reproduction: Many fungi reproduce asexually, often through the production of spores via mitosis. This allows for rapid reproduction and dispersal. This is the only mode of reproduction for so-called "imperfect fungi."
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Sexual Reproduction: Many other fungi, known as "perfect fungi", reproduce sexually, involving the fusion of hyphae from two different individuals. This process increases genetic diversity.
Therefore, while asexual reproduction is common in fungi, many species are also capable of sexual reproduction.
