*If you can't find skinned hazelnuts, follow steps 1-2. **Even if you have the skinned and roasted hazelnuts I recommend in the link above, I still like to roast them for extra flavor for about 10 minutes, then skip to step 3.  

• Prepare the Hazelnuts: Preheat your oven to 350°F (175°C). Spread the hazelnuts on a baking sheet in a single layer. Roast for 10-12 minutes, or until the skins are slightly blistered and the nuts are fragrant. Be careful not to over-roast them.
• Remove the Skins: Let the hazelnuts cool slightly. Place them in a clean kitchen towel and rub them together to remove most of the skins. It's okay if a few bits remain.
• Blend into Butter: Transfer the roasted and skinned hazelnuts to a blender or food processor. Blend until the hazelnuts turn into a smooth, creamy butter. This step may take 15 minutes in a food processor, and you may need to stop occasionally to scrape down the sides. At first, the nuts will turn into a powder and then get smoother and smoother as you blend.
• Add the Remaining Ingredients: Once the hazelnut butter is smooth, add the vanilla extract, cacao powder, sugar (start with 1/2 cup and adjust to taste), coconut oil (optional), and salt. Blend again until fully incorporated and smooth. The optional oil helps achieve a luscious, spreadable consistency. Blend again for another 5-8 minutes until a silky smooth consistency is created.
• Adjust Sweetness and Consistency (Optional): Taste your spread and adjust sweetness or cacao as desired.
• Store and Enjoy: Transfer your homemade Nutella to a clean, airtight jar. Store at room temperature for up to 2 weeks or in the refrigerator for longer freshness. Let it come to room temperature before using, as it will thicken in the fridge.
• Serving Suggestions: Spread it on toast, use it as a filling for crepes, swirl it into yogurt, or enjoy it by the spoonful!