Prepare the Chicken: Cut chicken breasts into bite-sized strips.
Marinate the Chicken: In a bowl, lightly beat the egg with milk. Add cayenne pepper, seasoned salt, garlic powder, and black pepper. Toss the chicken strips in this mixture and allow to marinate for at least one hour, or preferably overnight.
Prepare the Soaked Jalapeños: Slice the jalapeños and sprinkle with salt. Let sit for five minutes. Pour vinegar over the jalapeños and let them sit for thirty minutes, or until ready to use.
Prepare the Coating: In a separate bowl, combine the flour with cayenne pepper, garlic powder, seasoned salt, and black pepper.
Coat the Chicken: Once the oil is preheated to 375°F (190°C) and ready for frying, toss the marinated chicken strips in the flour mixture, lightly patting to ensure an even coat.
Fry the Chicken: Fry the chicken strips in batches for approximately 7 minutes, or until the chicken reaches an internal temperature of 165°F (74°C), is golden brown, and floats on the oil.
Finish and Serve: Once the chicken is removed from the fryer, coat immediately with grated parmesan cheese and a generous sprinkling of the vinegar-soaked jalapeños and sliced sweet peppers.