To make peppermint frost, combine candy, marshmallow cream, and boiling water.
Stir until candy is dissolved; chill.
Pour the cold water into a bowl; add the dry milk and whip until soft peaks are formed, 3 to 4 minutes.
Add lemon juice and continue whipping until stiff, 3 to 4 minutes.
Fold peppermint mixture into whipped dry milk.
Turn into a refrigerator tray and freeze until firm.