Combine the cooled coffee with the lukewarm milk, crumble in the yeast, and stir in one teaspoon of sugar and one tablespoon of flour. Let it proof for 10 minutes. TIP: The milk should not be warmer than 98°F (37 °C), otherwise, the yeast won't activate.
In a large bowl, whisk together the flour, sugar, vanilla sugar, and a pinch of salt. Add the melted butter, egg, and the coffee-yeast mixture. Knead until you have a smooth, slightly soft dough.
Cover the dough and let it rise in a warm place for 45-60 minutes, or until it has doubled in size.
On a lightly floured surface, roll the risen dough into a rectangle. Sprinkle the roughly chopped white chocolate over the dough, and gently press it in.
Fold the dough in half lengthwise, so that one side slightly overlaps the other – this is the classic Stollen shape.
Place the stollen on a baking sheet lined with parchment paper, cover it, and let it rest for another 15 minutes. Preheat the oven to 350°F (180°C).
Bake for 35-40 minutes, or until golden brown. If the top is browning too quickly, cover it with parchment paper.
While still slightly warm, dust generously with powdered sugar. TIP: Brush the top with melted butter beforehand, so the powdered sugar adheres better and the cake stays softer longer.
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