In a large mixing bowl, whisk together the dry ingredients: flour, sugar, baking powder, salt, and nutmeg.

Cut in the cold butter until the mixture resembles coarse crumbs.

Stir in the cinnamon chips until evenly distributed.

In a separate bowl, whisk together the wet ingredients: eggnog, egg, and vanilla extract.

Pour the wet mixture into the dry ingredients and stir until just combined.

Pat the dough into a ball, divide in half, flatten into circles, and cut into wedges.

Chill the shaped scones in the freezer for 30 minutes.

Preheat the oven to 425°F. Brush tops of scones with eggnog and sprinkle with sugar. Bake for about 20 minutes.

Let the scones cool on the baking sheet before serving.