home-made hot sauce is easy, and terrific. cut the stems off the chilis and put into a blender with a small amount of salt, sugar, and white vinegar. I like to add some reoasted red (or yellow) peppers depending on the color I want for added sweetness. You can also add Garlic if you like. Puree and then put into a pot to cook for 10-15 minutes. Add enough vinegar to give it the consistency you want, and then add any sugar you might want to cut the heat (or not). STore in a jar in the fridge for many weeks or a few months.

you could try a variation of the fresh sriracha recipe by edamame2003 using bird's eye chilies in place of the fresnos: http://www.food52.com/recipes/6441_fresh_sriracha_aka_home_made_rooster