In a large mixing bowl of a stand mixer, beat the butter and sugar until well combined and light yellow in color. About 3-5 minutes.
Add the eggs, vanilla, and sourdough discard, mixing until smooth and scraping the bowl's sides and bottom as you go.
In a medium bowl, whisk together the all-purpose flour, potato flakes, baking soda, salt, and baking powder.
Add the flour to the butter/starter mixture, stirring until evenly combined.
Add the milk and mix until smooth.
Spread the batter in the prepared pan and sprinkle the crumb mixture evenly over the top.
Bake the cake for 45 to 50 minutes, until a paring knife inserted in the center comes out clean, and the edge of the cake just barely pulls away from the pan.
Remove it from the oven and cool on a rack. Once cooled sprinkle with powdered sugar if desired.