01 - In a large skillet, melt the butter over medium heat. Add the diced onions, salt, pepper, and sugar. Cook, stirring frequently, until the onions are golden brown and deeply caramelized, approximately 20 to 25 minutes. Transfer to a plate and cool to room temperature.
02 - In a medium mixing bowl, combine the sour cream, mayonnaise, garlic powder, onion powder, and chopped chives. Whisk until thoroughly blended.
03 - Fold the cooled caramelized onions into the cream mixture. Stir gently until fully incorporated and uniform in texture.
04 - Taste the dip and adjust seasoning as needed. Refrigerate for a minimum of 30 minutes to allow flavors to meld and develop.
05 - Transfer the dip to a serving bowl, garnish with additional fresh chives, and serve with potato chips.