In a mixing bowl, blend softened cream cheese with powdered sugar and a splash of vanilla extract until the mixture is smooth and creamy.
Flatten each refrigerated biscuit into a 3-inch circle using your hands or a rolling pin.
Add 1 tablespoon of strawberry preserves along with some of the cream cheese mixture to the center of each circle. Carefully fold each one into a half-moon shape, sealing the edges tightly.
Heat vegetable oil in a deep pot or fryer until it reaches 350°F (175°C).
Fry each donut seam-side down until golden brown, about 2–3 minutes per side.
Once fried, drain the donuts on paper towels to remove excess oil. Allow them to cool slightly before dusting with powdered sugar.