Line a small loaf pan with plastic wrap, covering all sides and leaving excess to hang over the sides.
Place the unflavored gelatin and dry milk powder in a blender or food processor (I used my blender). Pour the boiling water over top and immediately pulse to combine. Add the cheddar cheese and puree the mixture until smooth.
Immediately pour and scrape the cheese mixture into the prepared loaf pan, smoothing it into an even layer with a spatula. Fold the excess plastic wrap over the cheese, pressing it against the surface of the cheese, ensuring that it is completely covered. Refrigerate for at least 12 hours, until set. The cheese will keep in the refrigerator, tightly wrapped in plastic wrap, for up to 1 month.