No matter how you go about it, toasting coconut immediately pumps up the flavor of whatever dish you add it to.
Toasted coconut is often used in recipes for its crisp texture and caramelized sweetness. The fastest, most convenient way to toast it — if you're toasting small amounts — is to use the microwave. Spread shredded coconut on a paper or microwavable plate and microwave it at high power for 2 to three minutes, stirring every 30 seconds, until it's lightly golden. It'll crisp up as it cools. You can also toast small amounts of coconut on the stove top in a nonstick skillet over medium heat.
If you need a large amount of coconut (more than 1 cup), it makes more sense to toast it in the oven. Spread the coconut in a thin layer on a rimmed baking sheet and toast at 350° for 8 to 12 minutes, or until golden, stirring often to prevent uneven browning.
Regardless of the technique you use, be sure to keep an eye on the coconut as it toasts. With its naturally high oil content and added sugar (if you're using sweetened), it can burn quickly.