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Using the double-boiler method or the microwave, melt the chocolate, stirring often.
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In another pan over medium heat, melt the butter.
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Once the butter has melted, add the marshmallows, stir constantly until they are mostly melted, for better pliability, don't fully melt all of them.
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Remove from heat and fold in the cereal until completely combined.
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Add about a tablespoon of the cereal treats into the cone, making it flush with the rim of the cone.
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Dip the rim of the cone in the chocolate, and hold, allowing the excess chocolate to drip off.
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After the excess chocolate has dripped off, roll the still-wet chocolate rim in the silver sugar crystals and place in a cup or jar to keep upright. Repeat for all 12 cones.
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Roll the remaining cereal treats into 12 balls and then roll them in the silver sugar crystals, place them atop the cones, pressing them slightly to adhere to the cone.
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Allow to dry for at least 5 minutes then serve and enjoy.