Simmer the butterscotch beer or cream soda in a large pot over medium heat until it reduces to ½ cup. Let it cool until slightly warm.

Preheat the oven to 350°F and line cupcake pans with liners.

In a medium bowl, whisk together the flour, baking powder, baking soda, and salt. Set aside.

In a large bowl, cream the butter, brown sugar, and white sugar until fluffy. Add the eggs, vanilla extract, and butter extract, mixing until pale in color.

Stir in the butterbeer reduction and melted butterscotch chips. Gradually add the dry ingredients and buttermilk, mixing until smooth.

Divide the batter into cupcake liners and bake for 14-18 minutes. Let them cool completely.

Whip the softened butter in a large bowl until pale and fluffy. Add the melted butterscotch chips and combine.

Gradually add the powdered sugar, mixing until light and fluffy. Stir in the butter and vanilla extracts.

Combine the butterscotch chips and heavy cream in a microwave-safe bowl. Microwave until melted, then stir in the honey.

Pipe the butterscotch buttercream onto cooled cupcakes using a piping bag. Drizzle with butterscotch ganache. Enjoy the enchanting flavors of Hogsmeade in every bite!