2/3 cup water
1 1/3 cups granulated sugar
1/2 cup crushed candy canes
1/8 teaspoon salt
In a medium saucepan, heat sugar, corn syrup, candy cane pieces and salt over medium heat until the sugar and candy are melted (about 7 minutes). Stir occasionally. Add the melted mixture to the bowl of the stand mixer in a slow steady stream with the mixer running on the lowest speed.
Lift the marshmallow from the pan using the foil. With a knife, cut into 1 inch pieces (you can also use a cookie cutter to cut shapes). Dip the knife or cookie cutters in some of the remaining cornstarch sugar mixture to prevent sticking.