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Prepare the ramekins/cups: If using ramekins (for molding panna cotta), lightly grease with cooking spray, wiping out most of the residue with a paper towel. Alternatively, arrange plastic cups on a tray.
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Bloom the gelatin: Pour 1 cup of the half-and-half into the saucepan and sprinkle the powdered gelatin evenly over top. Let soften for 5 minutes or until the surface of the milk is wrinkled and the gelatin grains look wet and slightly dissolved. (If doubling the recipe, this may take longer)
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Dissolve the gelatin: Set the saucepan over low heat and warm the milk gently, whisking frequently until the gelatin dissolves. Do NOT let the milk boil or simmer; if you see steam remove the pot from the stove immediately and let it cool down. The milk should get warm, but not so hot that you can't leave your finger in the pot for a few seconds. The gelatin will dissolve quickly as the milk warms. (The ideal temperature for me was just above the lowest setting. Pay close attention to the milk temperature on this step.)
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Check to make sure the gelatin is dissolved: After about 2-3 minutes of warming, rub a bit of the milk between your fingers to make sure it's smooth; Or dip a spoon in the milk and check the back for distinct grains of gelatin.
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Dissolve the sugar: Stir the sugar into the milk and continue warming until dissolved. Again, never let the mixture boil or steam.
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Remove the saucepan from the heat. Whisk in the remaining half and half, vanilla, and a pinch of salt.
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Pour into cups/ramekins and chill: Divide the mixture evenly between the prepared ramekins or cups and refrigerate. If serving straight from the cups, without unmolding, chill for 1 to 2 hours. If you want to unmold the panna cotta, chill for at least 4 hours or overnight.