Off the heat, whisk the yellow mustard and apple cider vinegar together in a medium saucepan until smooth.
Stir in the brown sugar, ketchup, and molasses. Place over medium heat and stir until the sugar fully dissolves.
Add the Worcestershire, smoked paprika, cayenne, garlic powder, onion powder, and hot sauce. Whisk to combine.
Reduce the heat to low and simmer uncovered for 15–20 minutes, stirring every few minutes to prevent scorching. The sauce will reduce by about a quarter.
Remove from the heat, season with salt and pepper, and cool to room temperature.
Transfer to a glass jar and refrigerate at least 4 hours or overnight before serving. The sauce thickens significantly as it chills.