Ok so I hate the taste of store bought fondant but LOVE how easy it is to work with!! So i tried to make MMF. The first time it was hard to roll out, it cracked, it was just not easy to work with!! The second time right off the bat i can tell it is going to be like my first batch! what in the world am i doing wrong? As i was kneading the fondant..i could see it was cracking already! This is the recipe i use.
2tbsp water
16oz marshmellow
2lb 10x sugar

Sounds like the fondant is too dry. That usually means you added too much powdered sugar. Maybe next time add just 1 lb of sugar and then knead in extra sugar until you get the consistency that you want.

Try using Michele's fondant recipe on here. It rolls out and works just like Satin Ice and tastes awesome. Ive tried the MMF and never liked the way it cratored on me.
Here is the link: http://cakecentral.com/recipes/3663/michele-fosters-delicious-fondant

I have discovered for myself Fondarific Fondant. The website is www.fondarific.com or www.cakesupplies4u.com. I used wilton before i used this and the difference is night and day with taste and workablity.

Sounds like you put ALL of the powdered sugar in. I NEVER use the full 2lb. of sugar. I also add 2 t. light corn syrup. Really helps with pliability. I've recently started using Rhonda's Ultimate MMF recipe. It gave me the smoothest, prettiest fodant yet. And it tastes good!

http://cakecentral.com/recipes/3183/rhondas-ultimate-mmf

try adding some light corn syrup. it Really helps with pliability. i forget the exact measurements so i play with the amount sometimes. try a tbs in the marshmallow bowl before you melt it, then as you mix it up with the powdered sugar judge and see if you need to add more. you can always knead a bit more in later too. this really helps it be smoother and supple and tears less. a warning though when the powdered sugar and marshmallow syrup mix is mixed together it will still be kinda goopy. let it rest a few moments till its a bit cooler and then work with it. i always like to pour it into the bowl i had melted the marshmallows in because its still greased to let it cool. this works great for fondant to cover a cake with but because of it being softer now its not good to use for figurines and flowers etc unless the flowers will be flat and layed on the cake then.

i make mmf practically the same recipe as the OP mostly due to my location. i'm an hour away from even the nearest Walmart - 2 hours from the nearest Michaels. so.. mmf is more practicale for me

you can even make chocolate mmf with this- the corn syrup is ESSENTIAL though with the cocoa powder though!

the marshmallows powdered sugar etc are all stuff i can buy local thankfully. cept clear vanilla and that i dont worry about if i have to. the light corn syrup makes all the difference in how it rolls out kneads etc. but using corn syrup will cause the rest of the powderd sugar to be incorporated unlike if you hadn't used it. don't worry though. the corn syrup makes up for that.

What everybody said is right - 2 pounds of powdered sugar is too much. What I do is put the marshmellows straight from the microwave to the Kitchen Aid and add sugar until it's not sticky any longer. Cover it in Crisco, cover it in plastic and leave it until the next day. The next day it is a bit sticky (even though the previous day I thought it wasn't), so I add sugar as needed. The one trick I have learned is to add 1/2 an envelope of gelatin - it makes the fondant pliable and rolls out thin! Be careful though. If you use a flavored Jello enveloope, the MMF will be pink and the taste of Jello, which is just fine but some people may not like it. But the jello makes it pliable, delicious and it never cracks! You are in for a treat!

My recipe is as follows:

1 pk. marshmallows
2 lbs powdered sugar
5 Tbsp water
1/4 cup Crisco

I melt my marshmallows in a double boiler using my KA bowl and add 3 Tbsp of water while the marshmallows are melting. After they have melted I move the bolw to the stand mixer and with the "bread" attachment I add 1/2 the powdered sugar and 1 Tbsp of water. As everything is mixing I drop dollops of crisco into the bowl. Once the first round of PS is just about gone, I add the rest (save about 1/2 cup) followed by another Tbsp of water and the remaining crisso. I then turn everything out onto my fondant mat after it has been greased. I then kneed the fondant and incorporat the remaining PS, if needed. I lightly cover the finished batch in crisco, wrap in seran wrap, then plop in a freezer bag and let set overnight.

Keep in mind if the humidity is high on the day you are making it, you will juse less water and crisco. This recipe has never failed me. It rolls out smooth and thin and is quite pliable.

I also use Michele Foster's recipe. I used to use MMF until I tried Michele's. It can be rolled thinner and looks flawless. I use a butter flavoring in mine and people love it. It's a dream to work with...I have no need to try anything else now that I found it.

Thanks to everyone who replied!! I played around a little bit with it and added light cornsyrup!!! That made such a difference...although i couldnt roll it out to thin. But next time i make MMF I will try the gelatin pack! Guess i have to just make it a few more times and really play around with it to see what works best for me! Thanks for the help!

ok I found this recipe on the internet/it does not call for marshmallows......I add a bag of melted marshmallows to this and mixed it all together and its nice..........try it

http://thecookduke.com/fondant-recipe/