Coat a 9 x 13 inch baking baking sheet with cooking spray, and dust with confectioners' sugar, tap out any extra. Sprinkle gelatin over cold water in the bowl of a mixer. Let stand for 5 minutes to soften.
Meanwhile, heat granulated sugar and room-temperature water in a saucepan over medium-high heat, stirring, until sugar dissolves. Wash down sides of pan with a wet pastry brush. Cook until syrup reaches 238°F degrees on a candy thermometer. Stir syrup into softened gelatin, and keep stirring for a few minutes to cool.
Whisk on medium-high speed until soft peaks form, 8 to 10 minutes. Spread mixture into baking sheet using a spatula; sprinkle with sanding sugar. Let stand for 1 hour to set.
Cut out marshmallows using a frog cookie cutter and roll cut sides in sanding sugar to coat.
If you can't find green sanding sugar, mix a few drops of green food coloring with 1 cup sugar and seal in a container, shake up until the sugar turns green.
This recipe is more of a light and fluffy marshmallow, similar to a peep.