Preheat your oven to 350°F (175°C). This ensures that your cookies bake evenly.
In a large mixing bowl, combine the melted unsalted butter and packed brown sugar. Use your mixer to beat them together until the mixture is smooth. Add in the vanilla extract and the egg, mixing until well combined.
In a separate bowl, whisk together the instant butterscotch pudding mix, baking soda, salt, and all-purpose flour. This will ensure that your dry ingredients are well mixed and ready to incorporate.
Gradually add the dry mixture to the wet ingredients, mixing until just combined. Be careful not to overmix, as this can lead to tough cookies.
Gently fold in 1 cup of butterscotch chips and the chopped cashews. Reserve the remaining 1/3 cup of butterscotch chips for topping the cookies.
Using a cookie scoop or tablespoon, drop dough onto a prepared baking sheet, spacing them about 2 inches apart. Press a few of the reserved butterscotch chips onto the top of each cookie dough scoop for a beautiful finish.
Bake in the preheated oven for 10-12 minutes, or until the edges are lightly golden. The centers may look slightly underbaked, but they will continue to set as they cool.
Allow the cookies to cool on the baking sheet for about 5 minutes before transferring them to a wire rack to cool completely. Enjoy your delicious Cashew Butterscotch Pudding Cookies with a glass of milk or your favorite beverage!