Line a cookie sheet with wax paper or a silpat liner and set aside.
In medium-sized mixing bowl of electric mixer combine confectioner’s sugar, sweetened condensed milk, vanilla, and coconut.
2 cups confectioner’s sugar, 14 ounces sweetened condensed milk, 2 teaspoon vanilla extract, 3 cups unsweetened shredded coconut
Chill mixture for 15-20 minutes. Roll mixture into one-inch balls and slightly flatten with the bottom of a glass or a spoon. Place on cookie sheet and repeat until all the coconut mixture is used.
Place tray in freezer.
Make the chocolate coating
Melt chocolate chops and butter in microwave in 30-second intervals, stirring in between each interval.
2 1/2 cups chocolate chips, 2 Tablespoons unsalted butter
Dip the frozen coconut balls into the melted chocolate using two forks or spoons, or toothpicks. Completely cover the coconut ball and tap off excess chocolate. Place coated coconut ball back on baking sheet.
Place in refrigerator to chill completely.
Store in an airtight container in the refrigerator.