Heat oven to 350F and prepare a 6 welled donut pan with non-stick cooking spray. Cream the softened butter and sugar together until the butter and sugar are evenly mixed.

Add two eggs and beat with a hand mixer or whisk until the eggs are light and frothy.

Pour in milk and vanilla and beat again just to make sure all of the ingredients are mixed well.

Using a sifter or mesh colander, add half of the dry ingredients to the wet and mix well.

Finish by sifting the remaining dry ingredients and stir until batter forms.

Pour batter into prepared donut pan and bake for 20 minutes or until the donuts begin to brown. Cool completely before removing from pan.

Melt unsweetened chocolate and butter in a microwave-safe dish. Mix in powdered Erythritol and set aside until the donuts are ready for dipping.

Heat nuts, sweetener, and butter in a small microwave-safe dish for 45 seconds at a time, stirring frequently until the nuts begin to caramelize.

Spread nuts on parchment paper and sprinkle with salt.

Dip the donuts in the liquid chocolate or drizzle over the top.

Top with toffee nuts and optional shredded coconut. Store in an airtight container.