Preheat your oven to 350°F (175°C).
Grease and flour two 9-inch round cake pans.
In a large mixing bowl, cream together the softened butter and sugar until light and fluffy.
Add eggs one at a time, mixing well after each addition.
Mix in the crushed pineapple and vanilla extract until combined.
In a separate bowl, whisk together the flour, baking powder, baking soda, and salt.
Gradually add the dry ingredients to the wet mixture, alternating with coconut milk.
Fold in the shredded coconut until just combined.
Divide the batter evenly between the prepared pans.
Bake for 25–30 minutes or until a toothpick inserted in the center comes out clean.
Allow the cakes to cool in the pans for 10 minutes before transferring to a wire rack.
Once cooled, frost with whipped cream and top with additional shredded coconut, if desired.