This is how I try to upload an image to Azure blog storage, then upload an empty file located there.
As Marco said, FileMode.Create specifies that the operating system should create a new file. If the file already exists, it will be overwritten. For more details, you could refer to this article.
According to the pictures you provided, your blob size is 0 B. So, you would always couldn't find the file and open it. FileMode specifies how the operating system should open a file.
So I suggest that you could delete it and use OpenRead to open an existing file for reading. You could refer to the code as below:
using (var f = System.IO.File.OpenRead(model.FileToUpload.FileName))
{
await blockBlob.UploadFromStreamAsync(f);
}