Kombucha is a fermented tea beverage that naturally produces trace amounts of alcohol (typically 0.5-3% ABV) through the fermentation process involving a symbiotic culture of bacteria and yeast (SCOBY), placing it in a regulatory gray area where most commercial versions are kept below 0.5% ABV to avoid alcohol licensing requirements, though some craft producers intentionally create higher-alcohol versions marketed as hard kombucha with 4-8% ABV. The fermentation process that creates kombucha's characteristic tangy, effervescent profile is fundamentally similar to other alcoholic beverages—yeast consumes sugars from sweetened tea and produces alcohol and carbon dioxide—but the bacterial component typically converts much of the alcohol into acetic acid, giving kombucha its distinctive sour flavor while maintaining relatively low alcohol content. Hard kombucha has emerged as a popular category in the craft beverage market, appealing to health-conscious consumers seeking alternatives to beer and wine, with producers using techniques like longer fermentation periods, additional sugar sources, or secondary fermentation with wine or beer yeasts to achieve higher alcohol levels while preserving kombucha's probiotic benefits and unique flavor profile.