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Step 1
Preheat oven to 350 degrees. In a 3-quart saucepan, bring water to a boil; add coarse salt. Stir in quick-cooking grits; reduce heat to medium-low. Cook, stirring occasionally, until thick and creamy, 5 to 7 minutes. Remove from heat.
Step 2
Stir in unsalted butter, cut into small pieces, and 1 3/4 cups shredded cheddar cheese until melted.
Step 3
In a small bowl, lightly beat the eggs. Slowly whisk eggs into grits mixture, being careful not to let them scramble. Season with salt and ground pepper. Add hot sauce to taste.
Step 4
Pour mixture into a buttered 9-by-13-inch baking dish. Sprinkle with 1/2 cup coarsely grated cheddar cheese. Bake until golden brown, about 45 minutes. Let cool slightly before serving.