All brewing grains have been malted (moistened and germinated), with exception of roasted barley, unmalted wheat, and probably a couple others. This process creates starch in the grain which must be converted by enzymes into fermentable sugars and unfermentable dextrins (responsible for body and mouthfeel). The malted grain is then dried and some are kilned beyond that. The temperature at which the drying/kilning takes place is what creates the different types of malt. Specialty grains (caramel/crystal malts, chocolate malt, etc) are dried at higher temps at which point they go through a "mash" inside their husks that creates sugar in the grain. That is why they don't need to be mashed like base malts and can be steeped. That is also why they smell, as you described, "candied" (a term which is not used by brewers to describe malts).