Prep. Cut the cheddar cheese into long, thin strips slightly shorter than the length of a hot dog.
Split the hot dogs lengthwise without cutting all of the way through to create a pocket for the cheese.
Stuff a strip of cheese into the pocket of each hot dog. Tightly wrap each hot dog with a strip of bacon, securing each end of the bacon with a toothpick.
Fire up. Prepare a grill for indirect cooking by placing a chimney full of pre-heated charcoal briquets on one side of the grill’s charcoal grate in order to create direct and indirect cooking zones. Adjust the grill vents to bring the temperature to about 400°F (204.4°C) on the indirect side. Add 2 to 3 chunks of your favorite smoking wood to the charcoal for flavor. On a gas grill, adjust the temperature knobs so that one half of the grill is off and the other half is heated enough to maintain a temperature of approximately 400°F (204.4°C) on the indirect side.
Cook. Place the cheese stuffed, bacon wrapped hot dogs on the cool side of the grill with the cheese on top, positioning them as far from the heat source as possible. Cover the grill and allow the hot dogs to cook until the bacon is brown and crisp, approximately 20 minutes.
Serve. Place each cheese stuffed, bacon wrapped hot dog in a bun and serve immediately with your favorite hot dog condiments.
