Bring a large pot of salted water to a vigorous boil and cook the pasta until al dente, about 1 minute less than package directions. Drain and set aside.
In the same saucepan, melt the butter over medium heat until it starts to bubble and smell nutty, about 1-2 minutes.
Add the shredded cheddar cheese to the melted butter and stir constantly until melted and smooth, creating a velvety cheese sauce that fills your kitchen with a rich aroma.
Gradually whisk in the milk, simmering gently over low heat until the sauce thickens slightly and becomes creamy, about 3 minutes. Keep stirring to prevent lumps.
Stir in hot sauce and cayenne pepper, adjusting the heat to your preference. The sauce should smell spicy and inviting, with a slight tingle on your nose.
Add the cooked pasta to the cheese sauce and fold gently until every piece is coated in the fiery, cheesy mixture. The sauce will cling generously to the pasta, creating a gooey, vibrant dish.
Meanwhile, in a skillet, melt a tablespoon of butter and toss in the panko breadcrumbs mixed with smoked paprika. Toast over medium heat until golden brown and fragrant, about 2 minutes.
Transfer the cheesy pasta to a baking dish and sprinkle the toasted breadcrumbs evenly over the top, creating a crunchy, spicy crust.
Bake in a preheated oven at 180°C (350°F) for 15-20 minutes until bubbling around the edges and the topping is crisp and golden.
Remove from the oven and let rest for 5 minutes to allow the cheese to settle and the flavors to meld.
Serve hot, with extra hot sauce or herbs if desired, and enjoy the bold, spicy chaos in every cheesy, crispy bite.