In a microwave safe bowl add the chocolate chips and coconut oil. Melt in 30 second intervals stirring between (this only took 2, 30 second intervals for me). You can also do this on the stove top in a sauce pan. Use low heat and stir constantly. Once the chunks almost melted turn off the heat.
Allow the chocolate to cool for about 2 minutes. If you made this on the stove top, transfer it to a bowl and then allow to cool for 2 minutes.
While it is cooling crush the candy canes and put on a plate for dipping. Line a baking sheet with parchment paper. Put the lollipop sticks in the marshmallows. I push mine almost to the other side of the marshmallow without puncturing it through.
Once the melted chocolate has firmed slightly, grab the marshmallow by the stick and coat all sides of it. Tap off excess chocolate. Dip it in the candy cane mixture and roll it on all sides to coat it well. I found that I needed to re-stir the crushed candy canes after each marshmallow.
Place the dipped marshmallow on the parchment paper and repeat until all are done. Refrigerate for 20 minutes. You do not need to keep these refrigerated unless your house is very hot. I kept mine in a Ziploc on the kitchen counter with no problems. Enjoy!