1. In large mixing bowl, stir together the butter, peanut butter, powdered sugar and vanilla. Fold in the graham cracker crumbs, coconut and nuts. Shape mixture into 1-inch balls.
2. In a small saucepan, melt together the chocolate coating and butterscotch pieces over low heat. Cool slightly. Dip balls into mixture to coat. Place on waxed paper and let stand at room temperature till coating is firm. If you like, topp with decorative sprinkles before coating is firm.