1. Preheat oven to 375 degrees F (190 degrees C).
2. In a medium saucepan over medium heat combine butter, cream cheese and milk; stir until smooth.
3. In a 9x13 inch baking dish combine corn and jalapenos. Pour milk mixture over corn and sprinkle with cheddar cheese.
4. Bake in preheated oven for 35 minutes.