The package I am using is: node-red-contrib-azure-blob-storage
I think I figured it out.
So it seems like it uses whatever the path of the file is, at msg.payload. The slight problem with that is that when you have the file on your 'in my case' linux system, I could not imagine how that file path translates up into the Azure Blob.
so msg.payload becomes both the file that is uploaded, as well as the intended filename.
What ended up working is setting the filename to upload to be...:
Those are the wrong slashes for Linux, so instead of creating it in a nested folder, it just creates a file literally named: devicename\filename.json
(Not sure if the double slashes are required).
Then when this particular node goes to upload it to Azure, it parses that, sees the slashes, and puts it into the proper folder structure on Azure Blob Storage.
So in my case, that 'Storage Blob Name' is blank now, and it is being pulled from msg.payload.
That, as well as the slash confusion between a Linux and a Windows system is what caused problems.
Thank you guys for replying, I was not sure if I was just missing something obvious in the Node Properties configuration or not.