Prepare the pan: Lightly oil the bottom and sides of a baking pan. Sift a thick layer of powdered sugar (about ⅛ inch) over the entire inside so it’s well coated.
Cook the sugar syrup: In a medium saucepan fitted with a candy thermometer, combine ½ cup cold water, sugar, and corn syrup. Stir well, then bring to a boil over high heat, stirring often. Cook until the syrup reaches 240°F. Reduce heat to low once it hits temperature.
Bloom and whip the gelatin: In a small bowl, whisk the remaining ½ cup cold water with the gelatin until completely dissolved. Pour into the bowl of a stand mixer fitted with the whisk attachment and turn the mixer to high.
Combine: Slowly and carefully pour the hot syrup into the mixer while it’s running on high. Beat for 10–15 minutes, until thick, fluffy, and spreadable. Add the vanilla and salt during the final minute.
Spread into the pan: Immediately pour the marshmallow mixture into the prepared pan. Smooth it out with an oiled spatula, re-greasing as needed.
Coat and set: Dust the top generously with powdered sugar and gently press it in. Leave the marshmallows uncovered at room temperature for 6–8 hours to firm up.
Cut: Dust cookie cutters with powdered sugar and cut into holiday shapes, or slice into squares. Toss lightly in powdered sugar to prevent sticking.