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Put the potatoes, carrots, cashews, and water in a pot. Cover the pot and bring everything to a boil. Cook for about 10-15 minutes, or until the vegetables are soft enough to blend.
Meanwhile, heat the oil in a frying pan over medium heat. Add the onion and a pinch of salt and sauté until translucent, about 3 minutes. Then add the garlic and sauté for another minute until fragrant.
Once the potatoes and carrots are done cooking, transfer the while mixture (+ cashews and cooking water) to a blender. Add cooked onions, garlic, nutritional yeast flakes, mustard, and salt and blend until creamy.
Then pour the sauce into a large, deep pan or pot. Whisk in the white wine and tapioca starch and bring to a boil. Simmer briefly until it thickens and gets creamy. Taste and adjust seasonings as needed.
Serve the sauce in a fondue pot or straight from the pan with bread, potatoes, vegetables, or any side dishes you like.