Fill the instant pot with oil until 2 inches deep. Set to sauté and to use a candy thermometer, bring the temperature to 350. It may take 20-30 minutes.
In a mixing bowl, whisk together the eggs, milk, vanilla, and water.
Whisk in sugar, salt, and baking powder
Mix in flour until batter forms
Once oil comes to temperature, pour batter into a gallon-sized zip-lock bag and cut a small corner off. A piping bag can be used.
Squeeze batter into the oil piping in random directions and layered over itself. Leave room for the batter to expand. Cook for 5 minutes on one side, flip and cook for another 5 minutes.
Remove and place on a paper towel to cool and dry.
Dust with powdered sugar. Optional drizzle with favor sauce.
Plate, serve, and enjoy!