In a large mixing bowl, beat the thawed Cool Whip until smooth.

Add the instant pudding mix and beat until well combined.

Gradually add the powdered sugar, beating until the mixture is thick and creamy.

Stir in the vanilla extract and food coloring (if using).

Line a baking sheet with parchment paper.

Drop rounded tablespoons of the mixture onto the prepared baking sheet.

Sprinkle with sprinkles or colored sugar (if using).

Refrigerate for at least 2 hours, or until firm.