Preheat your oven to 325°F (163°C). Grease and flour a 9-inch round cake pan.

In a large mixing bowl, beat cream cheese until smooth. Add sugar and eggs, mixing until well combined. Fold in the dulce de leche until fully incorporated. Pour into the prepared pan and bake for 30 minutes or until set. Let cool completely.

In another bowl, cream together butter and sugar until light and fluffy. Beat in eggs one at a time, then add vanilla. In a separate bowl, sift together flour, baking powder, baking soda, and salt. Gradually add dry ingredients to the wet, alternating with milk, until just combined.

Divide the batter evenly between two 9-inch pans. Bake at 350°F (175°C) for 20 minutes or until golden and a toothpick inserted into the center comes out clean. Cool completely on wire racks.

Place one cake layer on a serving plate. Spread a thin layer of dulce de leche over the top, followed by the cheesecake layer. Add another thin layer of dulce de leche, then top with the second cake layer.

Frost the entire cake with a buttercream or whipped cream frosting of your choice. Drizzle extra dulce de leche over the top for decoration.

Refrigerate the cake for at least 2 hours before serving to ensure it is set and easier to slice.

Slice the cake into 8 pieces and serve with a dollop of whipped cream or a scoop of vanilla ice cream for an extra treat.

Cover any leftover cake with plastic wrap and store in the refrigerator for up to 5 days. For longer storage, wrap slices individually and freeze for up to 2 months.