Blocks of Candy Cane Wall as well as the recipe to craft these christmas-themed building blocks can occasionally be found in randomly spawning Holiday Gift-boxes during Christmas time ("Festive Season" special event). It can be rotated by pressing and holding R while moving the mouse.
Even though the crafting recipe is only available for a limited timespan, you can keep it after finding it and after learning it, it will be permanently added to your crafting menu. As a rare recipe it will also carry over to any other gameworld that you're playing on.
It's possible that even afterwards you might be able to obtain and learn such a recipe when visiting other players on their worlds or play a player-created adventure.
These blocks (not the according crafting recipes though) can rarely also be obtained from Arctic Mirus, Rambeaus or Blizzard Chizzards during the duration of the special event, either as loot for killing them, or harvesting from them when they are your Pets.
To craft 8 of these building blocks at once you'll need (as of R43 in May 2017):
- 1 (block of) Snow from Taiga-biomes, Mountains, Frozen Deserts, frozen Oceans, Canyon-tops, snowy Tundras and the like, or as a rare drop/pet-havest from Arctic Mirus
- 1 Red Pigment made of Red Flowers taken from Ashenwood trees in a Processor or found in Obsidian Treasure Chests
- 2x Molasses found in Holiday Gift-boxes during christmas-holiday and obtained as a rare loot or an occasional pet-harvest from Arctic Mirus, Rambeaus or Blizzard Chizzards