Pour warm water into a large bowl. Add yeast and 1 teaspoon sugar; stir. Let sit 5-10 minutes until foamy.
Add softened butter, warm milk, egg, ⅓ cup sugar, and salt to the yeast mixture. Stir to combine.
Mix in 2 cups flour until no dry flour remains. Gradually add remaining 2 cups flour, ¼ cup at a time, until dough pulls away from bowl.
Knead dough for 6-8 minutes until smooth and elastic. Shape into a ball.
Place dough in a greased bowl, cover, and let rise at room temperature for 1 hour until doubled.
Punch down dough. Divide in half. On a floured surface, roll each half into a 12-inch circle, ¼ inch thick.
Cut each circle into 12 wedges. Roll each wedge tightly from the wide end to form a crescent.
Place rolls point-side down on a greased baking sheet. Cover and let rise 30-60 minutes until puffy.
Preheat oven to 350°F (175°C). Bake rolls for 10-12 minutes until golden brown.
Remove from oven and brush immediately with melted butter. Serve warm.