In a small skillet or a traditional cazuela, pour the olive oil. Add the thinly sliced garlic and the dried chili peppers (or red pepper flakes).
Heat over medium-low heat, gently cooking the garlic until it becomes fragrant and turns a light golden color. Be careful not to let the garlic brown or it will become bitter.
Increase the heat to medium-high. Add the shrimp to the hot, sizzling oil. Season with a pinch of salt.
Cook for about 2-3 minutes, stirring occasionally, until the shrimp turn pink and are just cooked through. Avoid overcooking, as they can become tough and rubbery.
If using, add the sherry or white wine and let it bubble for a minute to cook off the alcohol. Stir in the chopped fresh parsley.
Remove from the heat and serve immediately, while the oil is still bubbling. The dish is meant to be eaten straight from the cazuela, with plenty of crusty bread to dip into the garlicky oil.