Place a piece of foil or parchment in the bottom of an 8 x 8 baking dish.

In a large saucepan combine the white chocolate and sweetened condensed milk. Heat over medium low heat, stirring frequently, until the chocolate has melted.

Remove from heat and stir in the vanilla, crushed candy canes, and peppermint crunch. Mix well.

Pour the mixture into the prepared pan. Quickly smooth the top with a wooden spoon.

Sprinkle with additional crushed candy cane if desired.

Refrigerate for 2 hours. Remove from refrigerator and gently pull on the foil or parchment to remove fudge from the pan.

Cut into 24 squares.