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Preheat the oven to 325°F (165°C). Place a large roasting pan or baking dish on the center rack and pour in enough hot water to come about 1 inch up the sides — this is the water bath the muffin tin will sit in.
Melt the butter in a medium skillet over medium-low heat. Add the sliced onions and 1/4 tsp salt, then cook, stirring every 5 minutes, until the onions are deeply golden, jammy, and reduced to about 1/3 of their original volume, 35–40 minutes. Watch closely in the last 10 minutes and lower the heat if the edges begin to darken too quickly. Remove from heat and let cool slightly.
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