Nutella Stuffed Beignets In Air Fryer

In a large bowl, combine the milk, warm water, sugar and yeast. Whisk and let sit at room temperature for five minutes. The mixture should turn foamy. (Note: Refer to my Baking With Yeast Guide if you are brand new to working with yeast doughs.)
Once the yeast mixture is foamy, add the melted butter, egg, all purpose flour, and salt. Mix with a wooden spatula until a shaggy dough is formed. Then, knead by hand for five minutes until the dough is smooth. You can also knead in the bowl of a stand mixer with the dough hook at medium-low speed.
Place the dough in a greased container and cover. Let rise for one hour or until doubled in size.
Once the dough has doubled, place it on a lightly floured surface. Flour the top of the dough and with a rolling pin, roll the dough into a 13x18-inch rectangle. The dough should be ¼ inch thick.
With a pizza cutter, cut the dough into 1.5 inch squares that are approximately 1.5 inches wide. Place the squares onto a baking sheet lined with parchment paper roughly 1 inch apart. Cover with plastic wrap and let the dough proof for 45 minutes.
Preheat the air fryer to 375°F. Brush each square lightly with milk and air fry for 12-15 minutes or until golden brown.
Make a small hole in the beignets with a chopstick or knife. Fill a piping bag with Nutella. Then, pipe each beignet with Nutella.
Brush the beignets with melted butter and then dust with powdered sugar.