01 - Combine chicken chunks with salt, pepper, lime juice, garlic, smoked paprika, cumin, and red pepper flakes in a bowl. Toss thoroughly to coat, cover, and refrigerate for 15 minutes to 1 hour.
02 - Heat olive oil in a large skillet or Dutch oven over medium-high heat. Add marinated chicken pieces and sear for 2 to 3 minutes per side until golden brown. Transfer chicken to a plate, leaving drippings in the pan.
03 - Add onion, bell peppers, and jalapeño to the same pan. Sauté for 5 to 7 minutes until vegetables begin to soften and release their aromas.
04 - Stir in diced tomatoes and tomato paste. Cook for 2 to 3 minutes, stirring occasionally, until tomatoes start to break down and form a base.
05 - Return chicken and accumulated juices to the pan. Pour in coconut milk and stir to incorporate all ingredients. Reduce heat to medium-low, cover, and simmer for 20 minutes until chicken is fully cooked and sauce has slightly thickened.
06 - Taste the sauce and adjust seasoning with additional salt, pepper, or red pepper flakes as desired. Serve hot, garnished with fresh cilantro and accompanied by lime wedges. Pairs well with white rice or crusty bread.