Preheat your oven to 350°F (175°C) and line a cupcake pan with paper liners.

In a small bowl, mash ⅓ cup of fresh blueberries with a fork until mostly smooth. Combine with buttermilk and vanilla extract.

Cream butter and sugars in a large mixing bowl until pale and fluffy. Add eggs one at a time, mixing well after each addition.

Pour blueberry mixture into creamed butter, mixing on low speed until just combined.

Whisk cake flour, baking powder, and salt in a separate bowl. Fold into the wet ingredients until just combined.

Toss remaining blueberries with a tablespoon of flour and fold gently into the batter.

Divide the batter among cupcake liners, filling them about two-thirds full. Bake for 20-22 minutes until a toothpick comes out clean.

Let the cupcakes cool in the pan for 10-15 minutes, then transfer them to a wire rack to cool completely.

Blend softened cream cheese and butter until smooth. Gradually add powdered sugar to achieve desired consistency.

Fold in crushed freeze-dried blueberries into the frosting.

Frost completely cooled cupcakes generously with the blueberry cream cheese frosting.

Serve and enjoy your delicious blueberry cupcakes!