Hello @oneilllj ...
I'll just tag on to what @occnmastroianni has already stated. In Canvas Studio, in order to access the tools that @occnmastroianni is referring to, you'll have to click on the "Create" button, and then select "Screencast-o-Matic". This is where you might be asked to install the app that is mentioned above. You can also get instructions here: How do I install the Screencast-o-Matic screen cap... - Instructure Community - 523821. Once it is installed, you'll see a black and white border (which you can re-size) to record a screen capture. After you've finished recording the video, you'll be able to access an online editor to make further edits to your video...which should include the blur option you are looking for.
Just be aware that before you completely finalize your video in this interface (so that it posts to your Studio Library) that you have completely finished making edits to it. Otherwise, you will not be able to make additional edits to the video after it has been added to your Studio Library. And, the process to get back and edit a video that has NOT been added to your Studio Library is not very intuitive...IMHO.
I hope this will help in some way. Sing out if you have any questions...thanks!