01 - Combine chicken pieces with salt, pepper, lime juice, garlic, smoked paprika, cumin, and red pepper flakes in a bowl. Toss thoroughly to coat, cover, and marinate for at least 15 minutes, up to 1 hour in the refrigerator for deeper flavor penetration.
02 - Heat olive oil in a large skillet or Dutch oven over medium-high heat. Add marinated chicken and sear for 2-3 minutes per side until golden brown, developing a flavorful crust. Remove chicken to a plate, leaving fond in the pan.
03 - In the same pan, add onion, bell peppers, and jalapeño. Sauté for 5-7 minutes until vegetables begin to soften and onions become translucent, scraping up browned bits from the bottom.
04 - Stir in diced tomatoes and tomato paste. Cook for 2-3 minutes, stirring frequently, until tomatoes start to break down and release their juices, creating a thickened base.
05 - Return chicken and any accumulated juices to the pan. Pour in coconut milk, stirring to fully incorporate. Reduce heat to medium-low, cover, and simmer for 20 minutes until chicken is cooked through and sauce has slightly thickened.
06 - Taste the sauce and adjust seasoning with additional salt, pepper, or red pepper flakes as desired. The sauce should be rich, creamy, and well-balanced with spice.
07 - Serve hot, generously topped with fresh chopped cilantro and accompanied by lime wedges for squeezing. Pairs excellently with steamed white rice or crusty bread to soak up the sauce.