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Pour about ½-inch oil into a large saute pan or pot and heat over medium heat to 355 degrees F. (keeping an eye on it as it is heating). Meanwhile prepare donut dough.
In a medium mixing bowl, whisk together flour, ¼ cup sugar, baking powder and salt.
Separately whisk together buttermilk and melted butter. Pour buttermilk mixture into flour mixture and using a fork, stir in dry ingredients and mix just until combine (be careful no to over-work dough).
Roll dough into ½ Tbsp balls. Once the oil has reached 355 degrees F, fry about ½ the dough balls at a time.
Fry until just golden brown on bottom, then flip and cook reverse side until golden brown.
Carefully remove with a spider strainer or metal tongs drain onto a paper towel lined baking sheet.
Pour ⅓ cup sugar into a dish, roll donuts in sugar. Repeat this process with remaining dough.