Add cashews to a heatproof bowl and cover with hot water by at least 1-2 inches. Soak for at least 15 minutes.
Drain the cashews and add them to a high-speed blender with the remaining ingredients (jalapeño, nutritional yeast, water, lime juice, garlic, and salt). Blend on high until smooth and creamy. Taste and adjust, as needed, adding more nutritional yeast for cheesiness, lime juice for brightness, jalapeño for heat, or salt for overall flavor.
Use immediately as a dip or on bowls, quesadillas, salads, enchiladas, tacos, and beyond. Store leftover sauce in an airtight container in the refrigerator for up to 4-5 days.
Video
Notes
*Prep time includes soaking cashews. *Nutrition information is a rough estimate calculated with the lesser amount of nutritional yeast.