PREHEAT oven to 350℉.
GREASE a bundt or tube pan with coconut oil or butter. Sprinkle 2 tsp. dry cake mix into pan, rotating pan and tapping its sides until pan is evenly coated.
COMBINE oil, water, vanilla, eggs, nutmeg and lemon zest in a large bowl. Whisk to combine.
ADD cake and continue to whisk until well blended.
COMBINE chopped pecans and coconut sugar in a small bowl. Toss to mix.
POUR ½ of batter into prepared pan. Sprinkle pecan-sugar mix over batter. Cover with remaining batter.
PLACE pan in preheated oven and bake 35-40 minutes or until a toothpick inserted in the center comes out clean.
REMOVE pan from oven and immediately invert pan onto a wire cooling rack. Allow cake to cool 10 minutes before gently tapping the top and sides of the pan to release cake. Allow cake to cool completely.
BRING ¼ cup water to a simmer to make the glaze. Stir 2 cups powdered sugar into water, adding more as needed to achieve desired consistency (keep in mind that glaze will thicken as it cools thanks to the tapioca or arrowroot starch in the powdered sugar).