Hot Chocolate Fudge Candy

By Tyla | Last modified on Nov 27, 2025

Featured in: Desserts

Picture this: You’re drinking the world’s most decadent hot chocolate, but instead of sipping it, you’re eating it in the form of the silkiest, most luxurious fudge that’s ever graced your taste buds. That’s what we’re dealing with here. This Hot Chocolate Fudge Candy is basically like someone took everything magical about a cozy mug of cocoa—the rich chocolate, the creamy sweetness, the tiny marshmallows, the warm fuzzy feelings—and transformed it into a two-bite piece of heaven that melts on your tongue. It’s smooth, it’s chocolatey, it’s got those adorable mini marshmallows throughout, and it’s topped with a swirl of white chocolate and more marshmallows because why the hell not. I made these for a holiday cookie swap last December and three different people asked if I’d quit my day job to sell fudge full-time. My neighbor traded me her homemade baklava recipe for this recipe. My mom called it “inappropriately good” and ate six pieces while standing at my kitchen counter. This fudge makes people lose their minds in the most delightful way possible.

Why You’ll Love This Recipe

Winter in candy form. This tastes like snow days, fuzzy socks, and everything cozy about cold weather. It’ll make you want to build a blanket fort even in July.

Foolproof fudge. No candy thermometer, no weird crystallization issues, no praying to the candy gods. This uses sweetened condensed milk for guaranteed creamy perfection every single time.

Hot chocolate vibes without the mug. All the flavor of your favorite hot cocoa, but portable and way more impressive at parties.

Actually tastes like hot chocolate. We’re using real cocoa powder AND chocolate chips for maximum chocolate flavor, plus a secret ingredient that gives it that authentic cocoa taste.

Those marshmallows though. Mini marshmallows folded throughout and piled on top create pockets of sweet, pillowy goodness in every bite.

Gift-worthy gorgeous. Cut into squares and wrapped in cellophane, these look like they came from an expensive chocolate shop. Your secret is safe with me.

Dangerously easy. Like, “you’ll make this every week once you realize how simple it is” easy. Five ingredients and twenty minutes of actual work.

The Good Stuff You’ll Need

For the Fudge:

3 cups semi-sweet chocolate chips (about 18 oz)
1 can (14 oz) sweetened condensed milk
1/4 cup unsalted butter, cubed
3 tablespoons unsweetened cocoa powder (Dutch-process for extra richness)
1 teaspoon vanilla extract
1/4 teaspoon salt
1/8 teaspoon instant espresso powder (this is the secret—it amplifies chocolate flavor)
1 1/2 cups mini marshmallows, divided

For the Topping:

1/2 cup white chocolate chips
1 cup mini marshmallows
2 tablespoons hot chocolate mix (the powdered kind, for dusting)
Crushed peppermint candies (optional but very festive)

Equipment:

8×8 inch baking pan
Parchment paper
Medium saucepan
Rubber spatula
Microwave-safe bowl
Fine mesh sieve or small sifter

Let’s Do This

Step 1: Set Up Your Situation

Line an 8×8 inch baking pan with parchment paper, leaving overhang on two sides like little handles. This makes it stupid-easy to lift the fudge out later. Don’t skip this or you’ll be crying while trying to dig fudge out of your pan with a butter knife. Been there.

Lightly spray the parchment with cooking spray or brush with a tiny bit of butter. Fudge is sticky as hell and we want it to release cleanly.

Measure out your marshmallows and separate them—1 cup for folding into the fudge, 1/2 cup for mixing in, and 1 cup for topping. Keep them separated or you’ll lose track and your fudge math will be all wrong.

Get all your ingredients ready and within arm’s reach. Once the chocolate starts melting, things move fast and you don’t want to be frantically searching for vanilla extract.

Step 2: Melt Everything Into Chocolate Heaven

In a medium saucepan over LOW heat—and I mean LOW, not medium, not “kinda low”—combine the chocolate chips, sweetened condensed milk, and butter.

Stir constantly with a rubber spatula. The chocolate will start to soften and get glossy. Keep stirring. This takes about 5-7 minutes. Don’t rush it or the chocolate can seize up and get grainy.

Once everything is melted and completely smooth—no lumps, no chunks, just pure silky chocolate—remove from heat immediately.

Add the cocoa powder, vanilla extract, salt, and espresso powder. Stir vigorously until the cocoa powder is fully incorporated with no lumps. The mixture will get even darker and more intensely chocolatey. Smell it. That’s what happiness smells like.

The mixture should be thick, glossy, and pourable. If it looks separated or greasy, you overheated it. If it’s grainy, same problem. This is why we use LOW heat and stir constantly.

Step 3: Marshmallow Magic Time

Working quickly (the fudge starts to set as it cools), fold in 1 1/2 cups of mini marshmallows. Use a gentle folding motion—don’t stir aggressively or the marshmallows will start to melt too much. You want them to stay somewhat intact as little pockets of sweetness.

Some of the marshmallows will start to melt slightly from the heat of the chocolate, and that’s perfect. It creates this incredible swirly, gooey situation that’s exactly what we want.

Don’t overthink this step. Just fold them in evenly and move on. Speed is your friend here.

Step 4: Get It In The Pan Before It Sets

Pour the fudge mixture into your prepared pan. Work fast—this stuff sets quicker than you’d think.

Use your spatula to spread it evenly into all corners. Don’t obsess over making it perfectly smooth on top because we’re covering it with toppings anyway. Rustic is charming here.

Gently tap the pan on the counter a few times to release any air bubbles and help it settle into an even layer.

The top will look glossy and slightly soft. Resist the urge to touch it. I know you want to. Don’t.

Step 5: White Chocolate Drizzle Situation

In a microwave-safe bowl, melt the white chocolate chips in 20-second bursts, stirring between each burst. This should take about 60-90 seconds total. Don’t overheat or white chocolate gets grainy and gross.

Once it’s melted and smooth, transfer it to a small ziplock bag or piping bag. Cut a tiny corner off the bag—like, really tiny. You can always make it bigger but you can’t make it smaller.

Drizzle the white chocolate over the fudge in whatever pattern makes your heart happy. Zigzags, swirls, random squiggles—there’s no wrong answer here. Just don’t drizzle it in perfectly straight lines unless you want it to look weirdly uptight.

Work quickly because white chocolate sets fast.

Step 6: Pile On Those Marshmallows

While the white chocolate is still wet, scatter the remaining 1 cup of mini marshmallows all over the top. Press them down very gently so they stick to the white chocolate but don’t sink completely into the fudge.

Place some strategically, throw others randomly. Make it look like a hot chocolate explosion happened on top of your fudge. This is art. You’re an artist.

If you’re using crushed peppermint candies (highly recommend for holiday vibes), sprinkle those on now too while everything is still sticky.

Step 7: The Waiting Is The Hardest Part

Put the pan in the refrigerator and let it chill for at least 3 hours, or until completely firm. I know this is torture. I’m sorry.

Don’t try to cut it too early or it’ll be a melty mess. Trust the process.

For best results, let it chill overnight. It’ll be much easier to cut into clean squares.

Once it’s completely firm, use the parchment paper overhang to lift the entire fudge slab out of the pan. Place it on a cutting board.

Step 8: Cut Like A Pro

Use a large, sharp knife. Run it under hot water, dry it completely, then make one cut. Wipe the knife clean, heat it again, dry it, make another cut. Repeat for every cut.

This hot knife method gives you clean, professional-looking edges instead of raggedy, crumbly ones.

Cut into whatever size squares you want. I like 1-inch squares because this fudge is rich as hell and a little goes a long way. You’ll get 64 small pieces. If you like bigger pieces, go for 1.5-inch squares and you’ll get about 28 pieces.

Don’t stress if some squares aren’t perfect. They’re going to get eaten in approximately 3 seconds anyway.

Step 9: Make It Extra Pretty

Put your cut fudge pieces on a serving plate or in a decorative tin.

Using a fine mesh sieve, dust the top lightly with hot chocolate powder. Just a light snow of cocoa, not a blizzard. This makes them look fancy as hell and adds an extra hit of chocolate flavor.

If you’re gifting these, place each piece in a mini cupcake liner. This prevents them from sticking together and makes them look bakery-professional.

Take 94 pictures because they’re ADORABLE.

Try one. Die of happiness. Question why you ever bought store-bought fudge.

Serving Suggestions

This fudge is already perfect, but here’s how to make the moment even better:

Hot chocolate pairing: Serve with actual hot chocolate for maximum meta vibes Holiday plates: Arrange on festive plates with candy canes and pine branches
Coffee companion: The perfect afternoon treat with a strong cappuccino Ice cream topping: Chop it up and sprinkle over vanilla ice cream Gift boxes: Pack in clear cellophane bags with ribbon for gorgeous homemade gifts Movie night: Set out a plate during holiday movie marathons After-dinner treat: Serve as a fancy petit four situation after dinner parties Care packages: Ship to friends and family who miss your baking

Switch It Up

Dark Chocolate Version: Use dark chocolate chips instead of semi-sweet for more intense flavor
Peppermint Hot Chocolate: Add 1/2 tsp peppermint extract and top with crushed candy canes
Mexican Hot Chocolate: Add 1 tsp cinnamon and 1/4 tsp cayenne for spicy warmth
Salted Caramel Hot Chocolate: Swirl in 1/4 cup caramel sauce and top with flaky sea salt
Peanut Butter Cup Hot Chocolate: Swirl in 1/2 cup peanut butter for Reese’s vibes
S’mores Fudge: Add crushed graham crackers to the base and top with toasted marshmallows
White Chocolate Hot Cocoa: Use white chocolate chips instead of semi-sweet, add extra cocoa powder
Mocha Fudge: Increase espresso powder to 1 tablespoon for serious coffee flavor
Nutty Hot Chocolate: Fold in 1/2 cup chopped toasted pecans or walnuts
Orange Hot Chocolate: Add 1 tablespoon orange zest and top with candied orange peel

Storage and Make-Ahead Tips

This fudge keeps beautifully, which makes it perfect for holiday prep or gift-giving marathons.

Room temperature: Store in an airtight container, layers separated by parchment paper, for up to 1 week in a cool, dry place. Don’t leave it out in a hot kitchen or it’ll get soft.

Refrigerated: Keeps for up to 3 weeks in the fridge in an airtight container. Let it sit at room temperature for 10-15 minutes before eating for best texture. Straight from the fridge, it’s tooth-breakingly hard.

Frozen: Freezes beautifully for up to 3 months. Layer between parchment paper in a freezer-safe container. Thaw in the fridge overnight, then bring to room temperature. Tastes just as good as fresh.

Make-ahead timeline:

3 months ahead: Make and freeze
3 weeks ahead: Make and refrigerate
1 week ahead: Make and store at room temperature
2 days ahead: Perfect timing for gifting or serving

Pro tip: If you’re making multiple batches for gifts, make them all the same day while you’re in the zone. This fudge comes together so fast you can easily make 3-4 batches in an afternoon.

Gifting notes: Place pieces in mini cupcake liners, pack in decorative tins or clear bags, tie with ribbon, and attach a card with storage instructions. These make incredible teacher gifts, neighbor treats, and holiday care packages.

Why This Works So Damn Well

The science behind this fudge is what makes it foolproof and ridiculously good every time.

Sweetened condensed milk is the secret to easy fudge. Traditional fudge requires precise temperatures and lots of experience. Condensed milk contains sugar and milk solids already cooked to the perfect consistency. It’s basically a cheat code for smooth, creamy fudge without the fuss.

The cocoa powder adds authentic hot cocoa flavor. Chocolate chips alone taste like chocolate. Adding cocoa powder gives you that distinctive hot chocolate flavor—slightly less sweet, more intense, with that powdery richness you associate with cocoa.

Espresso powder is magic. It doesn’t make the fudge taste like coffee. It amplifies and deepens the chocolate flavor, making it taste more intensely chocolatey. It’s like turning the chocolate volume up to 11.

Low heat prevents grainy fudge. Chocolate is temperamental. Too much heat causes the cocoa butter to separate and the sugar to crystallize, giving you grainy, greasy, separated fudge. Low and slow keeps everything emulsified and smooth.

Marshmallows add textural interest. They create pockets of soft sweetness that contrast beautifully with the dense, rich fudge. Some melt slightly into the chocolate, others stay mostly intact. The variety is what makes each bite interesting.

Chilling is crucial for clean cuts. At room temperature, this fudge is soft and sticky. Cold, it’s firm enough to cut cleanly without squishing or crumbling. The cold also allows the chocolate to fully set into that smooth, snappy texture.

When to Make This

Christmas Cookie Exchanges: This always wins—it’s different from all the cookies
Holiday Gift Giving: Makes approximately 5 million people happy at once
Winter Birthdays: Better than cake for chocolate lovers
Valentine’s Day: Romantic, cozy, and chocolate. Perfect trifecta.
Snow Day Treats: Make these while snowed in for maximum cozy vibes
Office Parties: Easy to transport, no plates needed, everyone loves you
New Year’s Eve: Fancy finger food that’s actually easy
Movie Night Snacks: Elevated candy situation for home theater nights
Teacher Appreciation: They deserve homemade fudge, not another mug

Questions People Actually Ask

Q: Can I use milk chocolate chips instead of semi-sweet?
A: Sure, but it’ll be VERY sweet. Milk chocolate has way more sugar. I’d recommend doing half milk chocolate, half semi-sweet for balance.

Q: My fudge turned out grainy. What happened?
A: You heated it too high or too fast. Chocolate seized up. Use lower heat next time and stir constantly. Once it’s grainy, there’s no fixing it—but it’ll still taste good, just with weird texture.

Q: Can I leave out the marshmallows?
A: You can, but then it’s just regular chocolate fudge, not hot chocolate fudge. The marshmallows are kind of the whole point. They’re what makes it taste like hot cocoa.

Q: The fudge is too soft and won’t set. Help!
A: Put it back in the fridge and give it more time. If it’s STILL not setting after 6+ hours, you may have added too much butter or not enough chocolate. Next time, measure more carefully.

Q: Can I make this in a different size pan?
A: Yes, but it’ll change the thickness. A 9×9 pan will give you thinner fudge (still delicious). A 9×13 pan will give you VERY thin fudge that’s more like chocolate bark. Stick with 8×8 for best results.

Q: Do I have to use espresso powder?
A: No, but you really should. You won’t taste coffee—it just makes the chocolate taste more like chocolate. If you absolutely can’t, skip it. The fudge will still be good, just not AS good.

Q: My white chocolate drizzle is lumpy. What did I do wrong?
A: You overheated it. White chocolate is delicate and burns easily. Use lower power in the microwave and stir well between bursts. If it’s already lumpy, toss it and start over—lumpy white chocolate doesn’t get better.

Q: Can I use regular-size marshmallows instead of mini?
A: Cut them into quarters with kitchen scissors first. Whole regular marshmallows are too big and won’t distribute well.

Q: How do I know it’s done chilling?
A: It should be completely firm to the touch—no give at all when you press it. If your finger leaves an indent, it needs more time.

Q: This seems rich. How big should I cut the pieces?
A: This IS rich—that’s the point. I recommend 1-inch squares. People can always eat two pieces. Starting big and having them be overwhelming is worse than starting small.