Cotton candy is a form of spun sugar. Another type of candy is cotton candy, which is made from spun sugar. They were required to incorporate spun sugar into their decorations. Cotton candy, also known as candy floss, is a form of spun sugar. Cotton candy is a form of spun sugar often prepared using a cotton candy machine. Others suggest versions of spun sugar originated in Italy as early as the 15th century. Cotton candy is a spun sugar confection that resembles cotton. Spun Sugar paid $4.40 to win as the favorite. At that time, Spun Sugar was three for four lifetime. Later that year, Spun Sugar placed second all three legs of New York's Triple Tiara. Spun Sugar (foaled January 28, 2002 in Kentucky) is an American thoroughbred mare racehorse.