In a medium microwave safe bowl, add the chocolate and peanut butter chips. Heat in the microwave in 30 second increments, stirring well after each, until melted and smooth.
Stir in vanilla extract and salt
Pour the chocolate peanut before mixture over the cereal and stir well to combine.
Allow the mixture to cool to room temperature, about 15 minutes.
Divide the cereal into 2 (gallon-sized) sealable plastic bags or paper grocery bags. Add 1 cup confectioners' sugar to each bag, seal, and shake to coat.
Store in an air-tight container at room temperature, in the fridge, or freezer.