I've never seen a fresh water chestnut, but I
imagine the process is similar to other crystalised things.
If I remember my food chemistry stuff correctly, sugar draws water out of things pretty much like salt does,
and it's all about displacing the water in cells with sugar, then drying off any remaining water.
Make a heavy 1:1 simple syrup of sugar/honey dissolved in water.
Add a bunch of chestnuts to the syrup and simmer for half an hour or so.
Strain the chestnuts out and drain over the container of syrup.
You want as little syrup left coating the chestnuts as you can, so shake them around etc (over the syrup or it'll be messy!)
I've always used a cake rack like this for drying crystalised stuff on, but if you have a piece of food safe-ish mesh lying around...
The main thing is you want to be able to tip the drained chestnuts onto it and spread them around without them falling through the holes.
Place your...nut rack...on a tray to catch drips (or it'll be messy!)
and put somewhere out of the way to dry for at least a week.
Then roll in fine sugar or they'll stick together.
Sugar syrup can be strained, reboiled, cool and stored at room temp multiple times.
Whew. That may well be more than you ever wanted to know about crystalisation
This site talked about chestnuts lasting a year in a
clamp