Heat oil in a medium saucepan over medium heat. Add garlic, onion powder, and smoked paprika. Cook until fragrant, about 3 minutes. Add cayenne peppers, white vinegar, and salt. Bring to a boil, then reduce the heat to low and simmer for 20 minutes.
Cool the mixture slightly then carefully transfer it to a food processor. Process the sauce until smooth.
Strain the sauce through a fine-mesh sieve and funnel the liquid into a sealable jar or bottle. Discard the solids.