In a mixing bowl, combine the softened butter and powdered sugar. Beat until smooth and creamy.
Add a pinch of salt, vanilla extract, coconut extract, and cream of coconut to the mixture. Beat until well incorporated.
Gently fold in the shredded coconut until evenly distributed.
Using a cookie scoop, portion out the mixture and roll into small balls. Place on a baking sheet lined with parchment paper.
Refrigerate for at least 30 minutes to firm up.
Melt the chocolate candy melts in a microwave-safe bowl in 30-second intervals until smooth.
Dip each truffle into the melted chocolate and return to the baking sheet.
If desired, sprinkle toasted coconut on top before the chocolate sets.
Allow the chocolate to harden completely before serving.
