Place the cereal in a large mixing bowl.
Add the white chocolate chips to a microwave safe bowl. Microwave for one minute, the stir the chips. Microwave for another minute, or until everything is melted and smooth. If the chocolate chips have not melted after 2 minutes, continue to microwave on 15 second intervals, stirring in-between, until they are smooth.
Place the icing in a microwave-safe bowl and then microwave for 30 seconds.
Pour the melted chocolate and icing over the cereal. Fold all of the ingredients together until well combined and everything is coated evenly.
Add the powdered sugar to a zip-top plastic bag.
Pour in the coated cereal. Seal the zip-top bag and shake well, until all of the cereal is coated in powdered sugar.
Pour out the cereal onto a baking sheet lined with parchment paper. Place in the freezer until the chocolate is set, about 30 minutes to an hour.
In a large serving dish, add the cereal as well as the gummy worms, Oreos, and sprinkles. Mix until well combined.
Optional: Combine the strawberry syrup and food coloring in a small dish. Fill up the syringe. Add fake blood to each creepy bite! Do not add the fake blood to the entire bowl because it will make the muddy buddies soggy.