Preheat your grill or smoker to 225-250°F (107-121°C).
Wash the jalapeños thoroughly and slice them in half lengthwise. Remove the seeds and membranes carefully with a knife (use gloves if desired).
In a mixing bowl, combine the cream cheese, shredded cheddar cheese, garlic powder, onion powder, smoked paprika, and salt and pepper. Mix until well blended.
Using a spoon, generously fill each jalapeño half with the cheese mixture.
Cut each bacon slice in half. Wrap each stuffed jalapeño with a slice of bacon and secure it with a toothpick if needed.
Place the wrapped jalapeños on a baking sheet lined with aluminum foil to catch any drippings.
Once the grill or smoker is ready, place the baking sheet on the grill and close the lid. Cook for about 30-40 minutes, or until the bacon is crispy and the jalapeños are tender.
Remove from the grill and let cool for a few minutes before serving.