The Posts menu option on the left is where you add blog posts. To add a new blog post, select the Posts > Add New option from the left hand WordPress menu.
You will be able to set a title for the blog post, add the body content, and also provide all the meta information such as extra details in "Categories" and "Tags" also media in "Featured Image". In the blog meta "Featured Image" you can set the image for the thumbnail.
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