In a Dutch oven or other large pot over medium-high heat, sauté the bacon pieces until fully cooked and to your preferred level of crispiness. Remove and transfer to a paper towel-lined plate; set aside.
Drain all but about 1 tablespoon of the bacon grease from the pot. Add the onions and sauté for 1 to 2 minutes, just until soft, translucent, and fragrant.
Add all three of the chopped bell peppers and sauté for 2 to 3 minutes, just until the peppers are soft. Pour in the can of tomatoes with their juices, and the can of green chiles, stir.
Add the cheese, and stir regularly until the queso is smooth.
Top with bacon and any additional optional toppings you like, such as sliced jalapeno, chopped cilantro, dairy free sour cream, or additional chopped tomatoes.
Notes
Dairy-free cheeses: My favorite types of dairy-free "cheese" to use in this queso dip are Violife Mexican cheese (you can use this vegan Colby Jack cheese instead), Follow Your Hear vegan cheddar cheese, and this vegan Mozarella cheese.Storage: Allow to cool completely then store in an airtight container in the refrigerator for up to three days.