Place the water, cocoa, and sugar in a saucepan and whisk until smooth.
Place the saucepan over medium heat and cook for 1 minute, stirring constantly. Make sure your wooden spoon stirs the entire surface of the saucepan bottom, otherwise the cocoa will clump and your hot chocolate will not be smooth.
Add the milk, cream, chocolate chips, and vanilla extract to the saucepan, stirring constantly until the chocolate chips have melted and the hot chocolate is smooth and well blended, about 5 minutes.
Remove from the heat and ladle into mugs, garnishing each with 1/4 cup of the Real Whipped Cream.
YIELD: 4 cups