Preheat the oven to 325 degrees F. Evenly spread out the coconut on a large baking sheet. Bake for 5-7 minutes, stirring once, until coconut is slightly toasted. Remove from oven and set aside.
In a large bowl, whisk together flour, sugar, baking powder, soda, and salt. In a small bowl, whisk together milk, eggs, coconut oil, and vanilla. Add wet ingredients to the flour mixture and stir just until combined. Do not over mix.
Heat a griddle or pan to medium low heat. Coat with cooking spray. Drop about a 1/3 cup of batter onto heated skillet. Sprinkle pancakes with toasted coconut. Cook until surface of pancakes have some bubbles and a few have burst, about 2 minutes. Flip carefully with a spatula, and cook until browned on the underside, about 2 minutes more. Continue making pancakes until the batter and toasted coconut is gone. Serve warm with butter and coconut syrup, if desired.