Step 1: In a large mixing bowl, thoroughly combine the unsweetened shredded coconut and the 1/2 cup of powdered sugar. Use a whisk to ensure no lumps.
Step 2: Pour in the entire can of sweetened condensed milk and the vanilla extract into the bowl with the coconut mixture.
Step 3: Mix everything together using a sturdy spoon or clean hands until all the coconut is fully coated and the mixture comes together into a cohesive, sticky ball.
Step 4: (Optional, but recommended) Cover the bowl and chill the mixture in the refrigerator for 15-20 minutes. This makes the mixture easier to handle and less sticky.
Step 5: Take small amounts of the mixture (about 15-20 grams each) and roll them between your palms to form irregular, bite-sized shapes resembling "snowman poop." Alternatively, roll into uniform 1-inch balls.
Step 6: For an extra "snowy" effect, gently roll the formed pieces in a shallow dish of additional powdered sugar, tapping off any excess.
Step 7: Arrange your "snowman poops" on a baking sheet lined with parchment paper and refrigerate for at least 30 minutes, or until firm.
Step 8: Once firm, transfer to an airtight container. Store in the refrigerator for up to a week, or freeze for up to one month, separating layers with parchment paper if stacking.