Make It
Step 1
Lightly grease a 9” x 9” baking dish.
Step 2
Pour sweetened condensed milk into a small saucepan; cook over low heat, stirring frequently so the milk doesn’t burn. When small bubbles form and the milk starts to cling to the pan, stir in 1 ½ cups coconut, ½ cup at a time. Stir in peanuts. Stir in vanilla extract and salt. Cook, stirring constantly, for about 4 minutes or until the mixture resembles a thick dough and no longer sticks to the bottom of the pan.
Step 3
Pour the fudge into prepared baking dish; spread evenly with a spatula. Let cool for about 15 minutes or until the fudge can be handled.
Step 4
While the fudge is cooling, lightly toast the remaining cup of coconut; then place in a shallow dish.
Step 5
When the fudge is cool, cut into 16 squares; roll each piece into a ball and then roll each ball in the toasted coconut to coat. Arrange on a plate and serve at room temperature. Store leftovers covered in the refrigerator.