Start by getting everything ready. Line your 8×8-inch baking dish with parchment paper, leaving some paper hanging over the sides so you can lift the fudge out later. Unwrap all your caramels and measure out your ingredients.
First, let's make the caramel swirl. Put your soft caramels and heavy cream in a small saucepan. Heat them over low heat, stirring all the time until they melt together smoothly. This takes about 3-4 minutes. Once melted, add the flaky sea salt if you're using it, then take the pan off the heat and set it aside.
Now for the fudge base. In your medium saucepan, combine the white chocolate chips, sweetened condensed milk, and melted butter. Put this on low heat and keep stirring until everything is completely melted and smooth. This usually takes about 5-6 minutes. Once melted, take it off the heat and stir in your vanilla extract and salt until it's all mixed together.
Pour your white chocolate mixture into your lined baking dish. Use your spatula to spread it out evenly. Take your warm caramel and drop spoonfuls of it all over the top of the white chocolate mixture. Using a knife or toothpick, gently swirl the caramel through the fudge. Don't mix too much – you want to see pretty caramel swirls, not have it all blended together.
Gently tap your pan on the counter a few times to get rid of any air bubbles. Put the pan in the refrigerator and let it chill for at least 2 hours, or until the fudge is completely firm.
When the fudge is firm, use the parchment paper to lift it out of the pan. Use a sharp knife to cut it into squares. For easier cutting, run your knife under hot water and dry it between cuts.