Step 1

Toast the coconut: Preheat the oven to 350°F. Spread the coconut flakes in a single layer on a sheet pan.  Toast for 15 to 20 minutes, stirring every 5 to 7 minutes, until golden brown.  The shredded coconut will toast fast, so keep an eye on it!  Let it cool before using, this allows the coconut to get a little crunchy and stick to the glass better.

Step 2

Make the margaritas:  In a blender, add the crema de coconut, coconut milk and lime juice.  Blend on low speed for 10 to 15 seconds until combined.  Add the tequila and ice and blend on high speed for 1 minute or until the ice and margarita are smooth and slushie.

Step 3

Garnish the glass and serve:  Rim the outside lip of the glass with agave, then gently press into the toasted coconut.  Pour the frozen coconut margaritas into the glass and serve right away!