Light, fluffy, and irresistibly tropical, this Coconut Cloud Cake is a dreamy dessert that melts in your mouth. With layers of tender cake infused with coconut milk and topped with velvety coconut frosting, it’s the perfect treat for any occasion. Finished with a shower of sweetened shredded coconut, this cake is as beautiful as it is delicious!
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Preheat your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans, or line them with parchment paper for easy release.
In a medium bowl, whisk together the flour, baking powder, and salt. Set aside.
In a large mixing bowl, beat the softened butter and granulated sugar together until light and fluffy, about 3–4 minutes. Add the eggs one at a time, beating well after each addition. Scrape down the sides of the bowl as needed to ensure everything is well combined.
Gradually add the dry ingredients to the butter mixture, alternating with the coconut milk. Start and end with the dry ingredients, mixing until just combined after each addition. Stir in the vanilla extract and coconut extract if you want an extra boost of coconut flavor.
Divide the batter evenly between the prepared pans. Smooth the tops and bake for 25–30 minutes, or until a toothpick inserted into the center comes out clean. Let the cakes cool in the pans for 10 minutes before transferring them to a wire rack to cool completely.
Place one cake layer on a serving plate or cake stand. Spread a generous layer of frosting on top. Place the second cake layer on top and frost the top and sides of the cake, smoothing it as evenly as possible.
Press the sweetened shredded coconut onto the sides and top of the cake, creating a fluffy, cloud-like coating. Be generous—the more coconut, the better!
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For an extra touch, toast a portion of the shredded coconut for a golden, nutty finish. You can also decorate the top with fresh berries or edible flowers for a stunning presentation. Leftovers can be stored in an airtight container for up to 3 days.
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