The Collaborative International Dictionary of English v.0.48:

Confetti \Con*fet"ti\, n. pl.; sing. -fetto. [It. Cf.
   Comfit.]
   1. Bonbons; sweetmeats; confections. [archaic]
      [1913 Webster +PJC]

   2. [originally, plaster or paper imitations of, or
      substitutes for, bonbons (confetti[1]).] small bits or
      streamers of brightly colored paper, thrown in celebration
      by carnival revelers, at weddings, etc.
      [Webster 1913 Suppl. +PJC] Confidant