Why does chocolate only melt smoothly in a pot inside hot water, but not in a pot that is directly heated?

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Why does chocolate only melt smoothly in a pot inside hot water, but not in a pot that is directly heated?

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The double boiler method regulates temperature around 100 degrees celcius due to boiling water / steam contacting the bottom of the bowl of chocolate, not the heating element which can heat closer to 200 degrees and burn the chocolate. Burning occurs in the 140 – 160 degree range.

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