Preheat the oven to 375°F (190°C). Lightly grease a small baking dish or cast-iron skillet.
In a large skillet over medium heat, cook the chorizo, breaking it into small pieces with a wooden spoon, until browned and cooked through, about 8–10 minutes. Drain excess fat if needed.
Reduce the heat to low. Stir in the shredded cheeses, milk, cumin, smoked paprika, garlic powder, salt, and black pepper. Cook, stirring constantly, until the cheese is fully melted and the mixture is smooth, about 3–5 minutes.
Transfer the cheese mixture to the prepared baking dish. Bake in the preheated oven for 10–15 minutes, or until bubbly and lightly golden on top.
Remove from the oven and let cool slightly. Garnish with diced onions, chopped cilantro, or sliced jalapeños if desired. Serve immediately with warm tortillas, chips, or crusty bread.
Notes
Optional garnishes include diced onions, chopped cilantro, or sliced jalapeños. Serve with warm tortillas or chips.