Preheat oven to 400°F // 200°C. Line a baking sheet with parchment paper and bake bacon for 15-18 minutes, until crispy. Remove and set aside to cool slightly. When cool enough to handle, cut into ½ inch pieces.

Fill a medium bowl with cold water. Peel potatoes and grate on a box grater, using the side with large holes. Immediately drop grated potatoes into the water. Drain into a fine mesh colander and repeat until water runs clear. (Two or three times)

Place drained potatoes into a clean kitchen towel and twist to wring out as much excess water as possible.

Add 2 tablespoons of butter to a cast iron skillet and sauté the onions and peppers over medium heat until soft, about 5 minutes. Remove from pan and set aside.

Add remaining butter to pan. Increase heat to medium high. When butter has melted, add potatoes to pan and let them cook, undisturbed, for 5 minutes.

Season with salt and pepper. Using a heat proof spatula, break up the potatoes and flip over to brown evenly.

Continue cooking for 10 minutes, breaking up potatoes and moving them around to cook thoroughly. Reduce heat to medium if potatoes get too brown.

Add crispy bacon, onions, peppers and cheese, stir to combine.

Once cheese has melted, remove from heat, top with chopped chives and serve.