In a medium saucepan, combine the water, 2 tablespoons of granulated sugar, and unsalted butter. Heat over medium heat, stirring continuously until the butter is completely melted and the mixture begins to simmer.
Once the mixture is simmering, remove the saucepan from the heat. Gradually add in the flour, baking powder, and salt. Stir vigorously using a wooden spoon until a smooth and cohesive dough forms. Allow the dough to cool for about 10 minutes at room temperature.
In the meantime, prepare your frying oil by heating it in a deep frying pan or pot. Monitor the temperature until it reaches 350°F (175°C) for optimal frying.
While the oil is heating, transfer your cooled dough into a piping bag fitted with a star tip, or into a ziplock bag with one corner snipped off to create a piping opening.
When the oil is hot, carefully pipe small blobs of dough, approximately 1 inch in diameter, directly into the oil. Fry in small batches to prevent overcrowding the pan. Each batch should cook for about 2-3 minutes or until they are puffy and turn a beautiful golden brown, flipping them occasionally for even cooking.
Once golden, use a slotted spoon to gently remove the churro bites from the hot oil. Transfer them to a plate lined with paper towels to drain any excess oil.
In a shallow bowl, mix together 1/4 cup of granulated sugar and 1 teaspoon of cinnamon. While the churro bites are still warm, toss them in the cinnamon-sugar mixture until they are thoroughly coated and irresistibly sweet.
Serve the churro bites immediately while they’re warm and fresh, or allow them to cool slightly before serving.
Notes
For a delightful presentation, arrange the churro bites in a small basket lined with parchment paper. Serve with chocolate or caramel sauce for dipping.