Line an 8x8 square baking dish with parchment paper. Set aside.
Over medium heat in a heavy bottom saucepan, heat the 3 cups white baking chocolate, 14 ounces sweetened condensed milk, 2 tablespoons unsalted butter, ½ teaspoon fine sea salt and 2 teaspoons vanilla extract or peppermint flavoring (just not both!). Stir constantly until the mixture is smooth. Do not over cook or or overheat.
Remove the mixture from the heat and gently fold in ½ cup of the crushed peppermint.
Pour the mixture into the prepared dish and spread evenly, tapping out bubbles.
Sprinkle the remaining crushed peppermint on the top while still tacky. Allow to cool fully before covering and chilling for a minimum of 8 hours.
Lift parchment out of the pan and cut into 1-inch squares.
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Notes
Storage: I like to store mine in the fridge in an airtight container. Allow it to sit for 15 minutes or so before serving to come to temperature. Homemade fudge is good for about a week before it starts to dry out and get brittle. Keep in mind that it will get progressively dryer and more brittle as the days pass. It is unavoidable.Freezing: Wrap it well in plastic wrap and freeze for up to 6 months. Like anything though, it will be a little drier after thawing.