Line a cupcake pan with paper liners and heat oven to 350°F / 180°C
Cream the butter and sugar together until light and fluffy
Add the egg and mix until combined
Scrape down the bottom of the bowl then add the sour cream and mix it in
Sift the flour, baking powder, baking soda, and salt into a bowl - omit the salt if you are using salted butter.
Add half the flour mixture and fold into the cupcake batter.
Pour in the milk and mix until completely combined
Add remaining flour and fold in
Add the pistachio butter, vanilla extract and almond extract and stir until everything is combined
Add chopped pistachios and stir through the batter
Scoop batter into cupcakes cases and bake for 17 minutes or until a skewer inserted comes out with just moist crumbs
Make the Pistachio Italian Meringue Buttercream
Whip the egg whites in a stand mixer, starting slowly and increasing the speed up to medium-high.
Seperate the sugar into two bowls, one with ⅓ cup and one with 1 cup.
Once your egg whites start to get foamy, add a pinch of salt, then take the smaller bowl of sugar and add one tablespoonful of it to the egg whites as they whip
Continue to add the sugar one tablespoonful at a time, waiting at least 30 seconds to a minute in between each addition to allow the sugar to dissolve
Once all the sugar is added, you should have a light and fluffy mixture - it won't yet be glossy like meringue as we still need to add the sugar syrup, but it should be light and fluffy and be whipped to soft peaks. Turn off your mixer and start on the sugar syrup
Take the other bowl of sugar and pour it into a small saucepan along with the water. Turn the heat on medium and let the mixture heat up and start to bubble.
If you have a candy thermometer, you want to boil the sugar syrup until it reaches the soft ball stage - 240°F (115°C). If you don't have a candy thermometer, see the notes in the post above about how to know when it's ready.
Start your electric mixer again, whipping the egg whites at a medium speed. Take your saucepan and pour the sugar syrup into the egg whites in a slow and steady stream, as they are whipping
Once all your syrup has been added, turn the mixer up to a high speed and let it whip. If you feel the side of your bowl, it will probably be quite warm, you want to keep whipping the meringue until it comes down to a lukewarm temperature or less - about 5 - 10 minutes
Chop your butter into small 'bite-sized' chunks and add them into the meringue as it whips on high speed. Let each chunk of butter get mixed in for a few seconds before adding the next
About halfway through, your frosting will look soupy and awful - don't panic! Just keep going and adding the butter and watch it transform into gorgeous silky Italian Meringue Buttercream before your eyes.
Once all the butter has been added, whip for another minute or so
Add two tablespoons of pistachio paste to the frosting and whip until it's entirely incorporated
Notes
Make sure you use pistachio paste (also known as pistachio butter), NOT pistachio cream.If you'd like the cupcakes to have a green color, add 1 or 2 drops of green food color to the batter after adding the pistachio paste.