Preheat the oven to 350°F. Line 2 baking sheets with parchment paper and set aside.
In a food processor combine ¾ cup pine nuts, the confectioners' sugar, almond paste, and vanilla extract. Then process until fine crumbs form. Add the egg and pulse until incorporated. Add the flour, baking powder, and salt; process the ingredients until the dough comes together.
Roll the dough into balls about ¾ - inch big then roll the balls of dough in the sprinkles. Gently press the sprinkles into the dough and place on the prepared baking sheets with 2 inches of space between each cookie.
Bake the cookies approximately 15 minutes, rotating the pans halfway through the cook time. The cookies should be golden brown. Let the cookies cool completely on the baking sheets on wire racks. Cookies can be stored in an airtight container at room temperature for 2-3 days.