In a large pot or Dutch oven, cook the bacon over medium heat until crispy.

Remove the bacon from the pot and set it aside on a paper towel-lined plate to drain, reserving the bacon grease in the pot.

Sauté Onions and Garlic: Add the diced onion and minced garlic to the pot with the bacon grease.

Cook until the onion is translucent, about 5 minutes.

Cook the Potatoes: Pour in the chicken broth and add the diced potatoes to the pot.

Bring the mixture to a boil, then reduce the heat to a simmer.

Cook until the potatoes are tender, about 15 minutes.

Remove the pot from the heat and use an immersion blender to blend the soup until smooth.

Alternatively, carefully transfer the soup in batches to a blender or food processor and blend until smooth.

Add Milk and Cheese: Return the pot to the heat and stir in the milk and shredded cheddar cheese until the cheese is melted and the soup is smooth and creamy.

Add Bacon and Season: Crumble the reserved bacon and stir it into the soup.

Season the soup with salt and pepper to taste.

Garnish and Serve: Garnish with chopped fresh chives, if desired.

Serve the cheesy bacon potato soup hot and enjoy the comforting flavors!

Add the onion and garlic to the pot and cook until the onion is translucent, about 5 minutes.

Add the chicken broth and potatoes to the pot and bring to a boil. Reduce the heat to a simmer and cook until the potatoes are tender, about 15 minutes.

Return the pot to the heat and stir in the milk and cheddar cheese until the cheese is melted and the soup is smooth and creamy.

Garnish with chopped chives, if desired.

Serve hot and enjoy!