Place chicken breast between two sheets of plastic wrap. Using a meat mallet, gently pound to an even thickness of 1/2 inch. Pat dry thoroughly with paper towels.

Season chicken with 1/4 teaspoon salt and 1/8 teaspoon pepper. Prepare three shallow dishes: In dish 1, combine flour, remaining salt, remaining pepper, garlic powder, and paprika. In dish 2, beat egg with water. In dish 3, mix panko with Parmesan if using.

Dredge chicken in seasoned flour, shaking off excess. Transfer to egg mixture and coat completely. Finally, press firmly into breadcrumb mixture, ensuring complete coverage. Rest on a wire rack for 5 minutes to allow coating to set.

In a heavy-bottomed skillet, heat oil over medium-high heat until it reaches 325°F (oil will shimmer but not smoke). Add butter and swirl to combine.

Carefully place the prepared chicken breast in the hot oil. Cook undisturbed for 3-4 minutes until golden brown. Flip once using tongs and cook an additional 3-4 minutes until the second side is golden and internal temperature registers 160-162°F.

Transfer to a wire rack over a baking sheet. Rest for 5 minutes to allow for carryover cooking to reach 165°F and for juices to redistribute within the meat before serving.