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In a medium bowl, whisk together the flour, cocoa powder, baking powder, baking soda, and salt. Set aside.
In a large mixing bowl, beat the softened butter and granulated sugar together until light and fluffy. Add the eggs one at a time, beating well after each addition. Stir in the vanilla extract.
Gradually add the dry ingredients to the butter mixture, alternating with the milk, beginning and ending with the dry ingredients. Mix until just combined.
Fill each cupcake liner about 2/3 full with the batter. Add a dollop of Nutella (about 1 teaspoon) to the center of each cupcake and use a toothpick to swirl it into the batter.
Bake in the preheated oven until a toothpick inserted into the center comes out clean. Allow the cupcakes to cool in the muffin tin for a few minutes, then transfer them to a wire rack to cool completely.
In a large mixing bowl, beat the softened butter until smooth and creamy.
Gradually add the powdered sugar, one cup at a time, beating on low speed until incorporated.
Add the Nutella, heavy cream, vanilla extract, and salt, and beat on high speed until the frosting is light and fluffy.
If the frosting is too thick, add a bit more heavy cream, one tablespoon at a time, until you reach the desired consistency.
Once the cupcakes have cooled completely, use a piping bag fitted with a star tip to pipe the Nutella frosting onto each cupcake.
Optionally, you can drizzle a bit of extra Nutella on top or add chocolate sprinkles for decoration.
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