Owing to its essential features, such as modularity and exceptional power quality, the modular multilevel converter (MMC) emerges as the optimal converter topology for high-voltage direct current (HVDC) applications. Traditionally, MMCs are controlled through a method called nearest level modulation (NLM), which generates N+1 AC output voltages, where N represents the number of sub modules (SMs) per arm. In this paper, we introduce a modified NLM technique designed to yield 2N+1 and 4N+1 levels, with a focus on efficiently controlling internal dynamics. The proposed MMC is evaluated using a hardware-in-the-loop (HIL) environment to obtain real-time simulation outcomes. This MMC topology demonstrates a reduction in circulating currents and capacitor voltage ripple.