Preheat oven to 425°F. Line a large baking pan with foil or parchment paper. Place a wire cooling rack on top, spray with nonstick cooking spray, or lightly coat with oil.
Heat chopped coconut flakes in a large pan over medium heat. Lightly brown, stirring continuously for about 2 to 3 minutes, or until toasted and no longer sticky on the surface. Transfer to a bowl, the coconut should slightly harden and become crisp once cooled.
Place 4 cups of cereal in a large resealable plastic bag. Remove air and seal. Use a rolling pin or side of a cup to crush into smaller pieces. It's good to have a mix of crumb sizes. You want the cereal to be able to stick to the chicken and leave some larger pieces to add more crunch.
Combine in a medium-sized bowl the coating ingredients; 2 ½ cups of crushed cereal, ½ cup of toasted coconut, 1 teaspoon salt, ¼ teaspoon pepper, and 1 teaspoon lime zest.
In a separate medium-sized bowl whisk together the batter; 2 eggs, 2 tablespoons coconut milk, and 1 teaspoon lime juice.
Add 1 cup of flour in a separate medium-sized bowl.
Setup a batter station starting on the left with chicken, flour, batter, and coating.
Bread the chicken as follows: Use left hand to place chicken in the flour, coat well and shake off excess. Use the same hand to dip into the egg batter, fully coating the chicken. Place in the coating bowl. Use your right hand to coat and firmly press the breadcrumbs into the chicken, turning over as needed.
Gently shake off any excess crumbs and place the breaded chicken on the baking rack. Repeat with other pieces. You want to make sure that the chicken is coated as much as possible to achieve a crunchy coating.
If any excess coating falls on the baking sheet after breading, lift up the baking rack and discard the crumbs. The high temperature may cause those extra bits to burn if left in the baking pan.
Bake chicken on the center rack of the oven for 10 minutes. Remove from the oven and use your fingers to flip gently, it’s warm to the touch but not hot. Tongs may cause the coating to flake off.
Bake for another 3 to 5 minutes, or until golden brown, crunchy and the meat reaches at least 165-170°F internal temperature. Allow it to cool 5 minutes before serving. While the chicken is baking, make the orange sauce.
Orange Sauce
In a bowl whisk together cornstarch and water. In a small saucepan, add orange juice, soy sauce, honey, lime juice, and cornstarch mixture. Bring to a boil over medium-high heat, whisking continuously until sauce thickens slightly, about 1 to 2 minutes. Set aside and allow to cool. Serve with chicken.