In a non-stick skillet, heat butter over medium heat until melted.
Reduce heat to medium low and add pepper rings.
Cook for 1-2 minutes to allow the pepper rings to soften and sweeten in flavor.
Crack egg and pour slowly into the pepper ring, allowing the egg to set a little so it doesn't leak out under the ring. (Don't worry, if a little leaks out, it still tastes and looks great!)
Add 1 Tablespoon water and cover for 2-5 minutes depending on how you like your egg cooked.
Add salt and pepper and enjoy!