Cut ends off squash so it fits in your Instant Pot. Stab it all over with a sharp knife and place it on a trivet over one cup of water. If your squash is too big, cut it in half.
Put cover on and turn to manual; set for 25-30 minutes (depending on how big your squash is). When cook time is up, natural release. Remove lid and let your squash cool before attempting to remove it.
Take out seeds, remove skin, and dice cooled squash. Set aside.
Spray inside of Instant Pot with cooking oil spray and set to saute. Cook turkey bacon, then remove and set aside.
Add oil to Instant Pot (or oil and butter combo) and saute shallots over med-low heat until soft. Add garlic and cook for an additional minute. Add cooked butternut squash and 2 cups of stock to pot and, using an immersion blender, blend until smooth. Alternately, you can do this step in the blender. Just be careful!
Season soup with salt and pepper to taste, then mix in an additional cup of broth and 1/3 cup of coconut milk. Add more broth to thin out even more, if desired. Serve hot with a garnish of bacon bits, fresh herbs, and and an extra drizzle of coconut milk.