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Coconut oil is primarily made of saturated fat, like butter, which is why it is solid at room temperature. The more saturated a particular fat is, the higher its melting point and the more likely it is to be solid at room temperature. Although coconut oil is solid at room temperature, it melts easily at about body temperature. Coconut oil does not have a coconut flavor and can be substituted for butter, vegetable shortening or any solid fat without dramatically changing the flavor of the recipe.

Step 1
Chill the coconut oil to solidify it, especially in the summer and for recipes calling for solid butter. You may store the oil in the refrigerator to prevent it from softening or melting in the heat of the kitchen.

Step 2
Determine the amount of butter needed by reading your recipe.

Step 3
Measure coconut oil in a one-to-one ratio and substitute it for butter in your recipe. For example, if your recipe calls for ½ cup of butter, use ½ cup of coconut oil.

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Source:  http://www.livestrong.com/article/510635-how-to-replace-butter-for-coconut-oil-equivalents-in-baking/

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