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White chocolate is a type of chocolate based on cocoa butter without the cocoa solids. It also includes milk solids, sugar, lecithin, and flavorings (usually including vanilla). Cocoa butter is the ingredient used in other chocolates so that they remain solid at room temperature yet melt easily in the mouth. Thus, white chocolate has a texture like that of chocolate but does not have the same taste. Unlike chocolate it does not contain caffeine.
As white chocolate does not contain cocoa solids or cocoa mass, it does not meet the standards to be called chocolate in many countries. In the United States, since 2004, white chocolate needs to be at least 20% (by weight) cocoa butter, at least 14% total milk solids, and less than 55% sweeteners such as sugar. Before this date, US firms needed temporary marketing permits to sell this cocoa solids-free chocolate. The European Union has adopted similar standards: white chocolate needs to contain not less than 20% cocoa butter and not less than 14% dry milk solids.
Some "white chocolate" is made with vegetable fat and not derived from cocoa. Vegetable fat-derived white chocolate is white in color, whereas cocoa butter-derived white chocolate is ivory-colored.