Crumble the yeast into lukewarm milk, add a little sugar, and one tablespoon of flour. Cover and let it rest in a warm place for about 10 minutes, until foamy. TIP: If it doesn't activate, try a warmer place or check the freshness of the yeast.
In a large bowl, combine the flour, remaining sugar, salt, and vanilla sugar. This will be the base of the dough.
Add the yeast mixture, egg, and melted (but not hot) butter. Knead into a smooth, slightly soft dough. TIP: If it's sticky, lightly flour your hands and the dough.
Cover the dough and let it rise for 45-60 minutes, until doubled in size. Choose a warm, draft-free place.
While the dough is rising, shape the marzipan paste into a cylinder, and chop the pistachios if you haven't already.
On a lightly floured surface, roll out the risen dough into a rectangle. Sprinkle with the pistachios, then place the marzipan cylinder in the center.
Fold the dough lengthwise so that one side slightly covers the other – this is the classic stollen shape.
Place on a baking sheet lined with parchment paper, cover, and let it rest for another 15 minutes. Meanwhile, preheat the oven to 350°F (180°C) (conventional heat).
Bake for 35-40 minutes, until golden brown. If it browns too quickly, cover with parchment paper or foil.
Once removed from the oven, let it cool slightly, then dust with powdered sugar. TIP: Sift the powdered sugar on top for an even coating.
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