Add water, oil/butter, sugar, salt, flour, then yeast to the bread pan (liquids first, yeast last).

Select the Dough cycle and start. After 5–10 minutes, check the dough — it should form a soft, smooth ball.

If sticky, add 1 tbsp flour; if dry/crumbly, add 1 tbsp water.

Pat the pepperoni sticks dry with paper towels to remove surface oil (this helps the dough stick better).

When the dough cycle completes, turn the dough onto a lightly floured surface.

Roll into a 10 x 15-inch rectangle, about ¼–½ inch thick.

Cut into long strips 1½–2 inches wide (wide enough to wrap around each pepperoni).

Place one pepperoni stick at the edge of each dough strip. Roll up snugly like a cigar, pinching the seam and ends to seal.

Place seam-side down on a parchment-lined baking sheet with space between each stick.

Mix melted butter with garlic powder (and onion powder, if using).

Brush each wrapped stick generously.

Sprinkle or roll the tops in shredded cheddar so it sticks.

Optional: finish with Parmesan.

Cover loosely and let rise in a warm spot for 20–25 minutes, until slightly puffy.

Preheat oven to 375°F (190°C).

Bake for 20–22 minutes, until golden brown and the cheddar forms a crisp, lacy crust.

If the cheese starts browning too quickly, tent loosely with foil for the last few minutes.

Transfer to a wire rack and cool for 5 minutes.

Serve warm with marinara or pizza sauce for dipping.