In a large bowl, mix together butter, and peanut butter until smooth. Add in the powdered sugar until a thick dough forms. Fold in the M&Ms and chocolate chips.
Roll the mixture into balls and set onto a plate. Freeze for at least 20 minutes. Place the chocolate chips into a microwave-safe bowl, and heat in the microwave in 30-second intervals, stirring well until it is fully melted and smooth.
Fully coat each peanut butter ball in the mixture and set onto a plate. Let sit until the chocolate has completely set.
