Place cereal in a large mixing bowl and set aside.

In a microwave-safe bowl, combine chocolate chips, peanut butter, and vegan butter.

Microwave on high for 30 seconds, stir, and repeat until the mixture is smooth and fully melted.

Stir in the vanilla extract.

Pour the chocolate mixture over the cereal and fold gently with a spatula until evenly coated.

Transfer the coated cereal to a large resealable plastic bag and add the powdered sugar.

Seal the bag and shake until all cereal pieces are well coated in sugar.

Spread the puppy chow onto parchment paper to cool and set before serving.