As is the running theme for Easter traditions, we’re just not super clear where baskets entered the story. I’m comfortable speculating that it was a very natural addition that probably independently sprung up in many places at various times.
Why? People have used baskets to gather eggs ever since we 1.) started making baskets and 2.) recognized eggs as a food source.
I’m comfortable asserting that even at the first Easter egg hunt ever conducted, baskets were definitely present. They would’ve needed some way to carry eggs around to hide them, and someone surely would’ve realized they needed some way to collect them when they hunted for the eggs. (Mentally arguing with me about aprons? Women probably would’ve thought to gather them that way, but the men likely wouldn’t be bustling about the church in aprons.)
The first written mention we have of the Easter bunny brings baskets into the mix. Because, naturally, a hare would need some way to transport those eggs (no thumbs.)
How we moved into filling them with candy and eggs, then leaving them for the kiddos probably relates to church stuff. In Poland (and other Eastern European countries), “the blessing of the baskets” has happened since about the 7th century. People bring baskets filled with their Easter foods to the church to be blessed, then set them aside until Easter morning. Knowing how much kids love participating in these rituals, I can imagine it started as a practice to hide a little treat in the basket for the kids and ended with whole baskets just for the wee tots.
And as I’ve said many times, Easter marked the end of the Lenten fast. Everyone was probably ready for sweet and treats. Lots of parents probably enjoyed rewarding their kids for following all those rules. And remember that the eggs themselves were considered a bit of a treat at that point.
How’s about that grass? It’s most probable that the idea was to create the appearance of a nest for the eggs, or to mirror the idea of the egg hunt. It also served to create a soft bed for delicate eggs – many people on farms fill the bottom of their egg collecting baskets with raffia, straw or cloth to keep the eggs from clacking together, so it would be pretty familiar practice. Also? Ever tried to fill an Easter basket without anything in the bottom? It’s not cute. Skip the plastic garbage (and definitely the “edible” grass), but be sure you drop something in there. Nobody wants basket splinters.
Are Necco wafers an acceptable Easter basket add-in? Is the recipient of said basket over the age of 90? If not, then absolutely no. If so, ehhhh… choking hazard, better skip, just to be safe.
Necco wafers are not acceptable for anything. Let's not kid ourselves. Would you eat dried-out fondant? No, you wouldn't. So you shouldn't eat a Necco wafer.
I'm firmly convinced the origin story of Necco wafers is some guy watching kids eat library paste and thinking "What if I put food coloring in that?"