Hani' used in its name stands for clay, and 'Haniyasu' means to knead soil to become soft.
It is one of gods that born between Izanagi and Izanami at Kamiumi (the birth of the kami). Nihonshoki (Chronicles of Japan) describes her as Haniyasu no kami. According to Kojiki (Roderods of Ancient Matters), Haniyasuhiko no kami and Haniyasubime no kami came into being from feces of Izanami, who was about to die after giving birth to the god of fire. In addition, some shrines enshrine a pair of gods named Haniyasuhiko no kami and Haniyamahime no kami; these two gods are considered to have the same divinity as Haniyasu no kami, and two gods' names are combined into one as Haniyasu no kami.
In Jichinsai (a Shinto ground-breaking ceremony to pacify the local guardian spirits), this god is sometimes worshiped as the god of soil together with other deities.