Toss the sliced onions with olive oil (or butter) and half of the salt and pepper in a medium bowl.
Step 3: Prep the Steak
Divide steak into 4 portions. Pat dry and season both sides with the remaining salt and pepper.
Step 4: Build the Packets
Place a bed of seasoned onions on each foil sheet. Lay a steak portion on top, and drizzle any leftover oil over the meat.
Step 5: Seal and Bake
Fold the foil over the steak, then roll the ends to create sealed pouches. Place on a baking sheet and bake 20–25 minutes for medium doneness.
Step 6: Rest and Serve
Let the packets sit unopened for 5 minutes. Open carefully to avoid hot steam, and spoon the softened onions and juices over the steak before serving.
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