Towering coconut layer cake covered in fluffy white frosting and shredded coconut is a stunning family celebration dessert. This Southern classic delivers tropical sweetness in every bite.
Preheat the oven to 350°F. Grease and flour three 8-inch cake pans for easy release.
In a stand mixer, cream the unsalted butter and granulated sugar on medium speed until light and fluffy, about 3 minutes.
Add the eggs one at a time, beating well after each addition; scrape down the sides to ensure even mixing.
Whisk together the flour, baking powder, and salt in a separate bowl. Add the dry ingredients to the butter mixture in three additions, alternating with coconut milk, beginning and ending with dry ingredients.
Stir in the vanilla extract and 1 cup of shredded coconut, mixing just enough to incorporate without overworking.
Divide batter evenly among the pans. Smooth tops; bake for 22–25 minutes, until a toothpick inserted in the center comes out clean.
Cool cakes in pans for 15 minutes, then turn out onto wire racks to cool completely; avoid stacking to prevent sticking.
For the frosting, beat remaining butter, confectioners' sugar, and a splash of coconut milk until it reaches a fluffy, spreadable consistency.
Spread frosting between layers and over the top and sides of the cake. Gently press the remaining shredded coconut onto the frosting.
Chill the finished cake for at least 30 minutes to set before slicing for clean, defined layers.