Here is the famous puppy chow recipe! I know people think it's just muddy buddies, but there are a few small changes that make a big difference in this recipe.
6-8 c. Crispix cereal (NOT Chex)
1 stick butter
1 c. peanut butter
1 1/2 c. milk chocolate chips
3-4 c. powdered sugar (plus more as needed)
Melt together butter and peanut butter and stir until combined. Stir in chocolate chips and heat until mixture is glossy (you can do this in the microwave or on the stove). Pour cereal into a large bowl and add chocolate mixture. Stir gently to coat, trying not to crush cereal. Add additional cereal if it appears to be too heavily coated. In a plastic grocery bag (I double or triple layer mine to prevent a mess), put powdered sugar and then dump in chocolate-covered cereal. Twist bags to close and shake well (this works best if you also close air in the bags so the cereal can move more freely). After shaking for 1-2 minutes, check cereal. If it's stuck together in clumps, break them up and add more powdered sugar and shake again. Continue until most of the cereal is separated into individual pieces, as pictured above. Enjoy!