First Step: Prepare Your Ingredients and Oven
Preheat your oven to 350°F (180°C) and line a muffin tin with cupcake liners. Warm the can of coconut milk by placing it upside down in hot water to liquefy solidified fat, then stir and measure out 2/3 cup. Whisk the eggs and 1/3 cup of coconut milk together in a small bowl.

Second Step: Mix Dry Ingredients
In a mixing bowl, combine the flour, granulated sugar, baking powder, and salt. Beat the mixture on medium-low speed for about 30 seconds to blend evenly.

Third Step: Add Butter and Coconut Milk
Add the softened unsalted butter and the remaining coconut milk to the dry ingredients. Beat on medium speed for about 1 minute until creamy, being careful not to overmix. Scrape down the sides of the bowl regularly to ensure an even mix.

Fourth Step: Incorporate the Egg Mixture
Add the egg and coconut milk mixture in two batches, mixing on medium speed after each addition. Once combined, gently fold the batter by hand to even out the texture and avoid overworking.

Fifth Step: Divide and Bake
Divide the cupcake batter evenly among 12 liners, filling each about two-thirds full (roughly 60 grams per cupcake). Bake the cupcakes for 20-22 minutes or until domed and lightly golden. Test doneness with a toothpick inserted in the center.

Sixth Step: Cool the Cupcakes
Allow the cupcakes to cool in the pan for 10 minutes. Then transfer them to a wire rack to cool completely before frosting. Cooling is crucial to prevent frosting from melting.

Seventh Step: Prepare the Coconut Ermine Frosting
In a saucepan, whisk together sugar, flour, cornstarch, and salt. Gradually add coconut milk, stirring continuously to avoid lumps. Cook over medium heat, whisking constantly until the mixture thickens and boils (about 6-10 minutes). Continue stirring for 1 more minute post-boil.

Eighth Step: Cool the Frosting Base
Transfer the cooked frosting mixture to a bowl and let it cool completely (approximately two hours). This can be expedited by placing the bowl in an ice bath.

Ninth Step: Beat Butter and Combine
Beat the softened butter at medium-high speed until light and fluffy (about 5 minutes). Gradually add the cooled coconut mixture to the butter, starting on medium and increasing to medium-high speed until the frosting is smooth, fluffy, and creamy (3-5 minutes). Keep covered until ready to frost.

Final Step: Assemble and Garnish
Once cupcakes are fully cooled, pipe or spread the coconut ermine frosting over each cupcake. Optionally, sprinkle toasted or untoasted sweetened shredded coconut on top for additional texture and a boost of coconut flavor. Serve immediately or store as preferred.