01 - Preheat oven to 400°F and line a baking sheet with parchment paper or silicone baking mat.
02 - Place pepperoni slices in a single layer on prepared baking sheet, spacing them evenly apart.
03 - Distribute shredded cheddar and mozzarella cheeses evenly over each pepperoni slice.
04 - Sprinkle with dried Italian herbs and crushed red pepper flakes if desired.
05 - Bake for 8-10 minutes until cheese is bubbly and golden, and pepperoni edges are crispy.
06 - Let chips cool on tray for 2-3 minutes to set, then transfer to paper towel-lined plate to absorb excess oil.
07 - Serve warm or at room temperature as a snack or appetizer.