In a large bowl, beat the softened cream cheese with an electric mixer until smooth and creamy, about 2 minutes.

Gradually add the sifted powdered sugar to the cream cheese mixture, beating on low speed until just combined, then mix on medium speed until smooth.

In a separate, chilled bowl, whip the cold heavy whipping cream until stiff peaks form. Gently fold the whipped cream into the cream cheese mixture.

Gently fold in the melted and slightly cooled white chocolate chips and vanilla extract until no streaks remain. Be careful not to overmix.

Transfer the dip to a serving bowl, cover, and chill in the refrigerator for at least 30 minutes to firm up slightly.

Before serving, garnish the top with mini chocolate chips and sprinkles, or fruit slices.