Hand trim chicken breasts, and slice into 1-2 inch strips, length ways.
In a large gallon sized ziplock bag, gently mix coconut milk, curry powder, sugar, curry paste, salt, and sliced chicken breasts.
Gently massage chicken into marinade to evenly coat, ziplock the bag closed while pushing out excess air.
Place sealed bag on a baking sheet in refrigerator for 6-12 hours. This recipe is at it's best when allowed to marinade overnight!
Grill chicken breast on a well oiled grill at medium heat until cooked through. Rotate half way through the cooking process.
In a medium sauce pan whisk together peanut sauce ingredients over low/medium heat. Slowly heat coconut milk, red curry paste natural peanut butter, sugar, soy sauce, salt, vinegar and water to a slow simmer.
Allow peanut sauce to gently simmer and thicken.
Garnish grilled chicken breasts strips with chopped peanuts and fresh cilantro, serve alongside warm peanut dipping sauce and rice.