Brown the beef and onion in a large skillet over medium-high heat until no pink remains, about 6 to 8 minutes. Drain off most of the fat, leaving about a tablespoon in the pan.

Reduce heat to medium-low. Add the garlic, chili powder, cumin, paprika, and cayenne. Stir constantly for 30 seconds until fragrant.

Pour in the tomato sauce, tomato paste, water, sugar, salt, and pepper. Stir to combine. Bring to a bubble, then reduce heat to low and simmer for 20 minutes, stirring occasionally, until thick.

Remove from heat and stir in the apple cider vinegar. Spoon the hot sauce over steamed hot dogs and top with diced onion and yellow mustard.