Slice jalapeno. Infuse tequila with jalapeno by placing slices into tequila for 5-6 hours in the refrigerator. When ready to use, set jalapeno slices to the side.
Combine bourbon vanilla sugar and orange zest on a plate. If you cannot find bourbon vanilla sugar, raw sugar or brown sugar will work.
Rim a chilled margarita glass with the sugar mixture by running an orange slice over the rim and then dipping it into the mixture.
In a shaker, combine infused tequila, blood orange juice, lime juice, orange liqueur, and simple syrup.
Pour into the chilled, rimmed margarita glass filled with ice.
Top with a few of the discarded jalapeno slices.