In a small bowl, combine warm water, instant yeast, and sugar. Stir gently and allow to sit for about 5-10 minutes until frothy.

In a large bowl, whisk together bread flour and salt. Create a well, pour in yeast mixture and olive oil. Mix until a shaggy dough forms.

Transfer dough to a floured surface and knead for 5-7 minutes until soft and elastic.

Sprinkle in cheddar cheese and diced jalapeños. Toss in flour and knead until well incorporated.

Shape dough into a ball and place in a greased bowl. Cover and let rise for 1 to 1.5 hours until doubled in size.

Gently punch down the dough, shape it into a loaf, and place in a greased 9x5-inch loaf pan. Let it rise for 30-45 minutes.

Preheat oven to 375°F (190°C) while dough finishes rising.

Bake for 35-40 minutes until golden brown and hollow when tapped.

Let cool in the pan for 10 minutes, then transfer to a wire rack to cool completely before slicing.