Motivation: Identifying sequence similarity is a fundamental step in genomic analyses, which is typically performed by first matching short subsequences of each genomic sequence, called seeds, and then verifying the similarity between sequences with sufficient number of matching seeds. The length and number of seed matches between sequences directly impact the accuracy and performance of identifying sequence similarity. Existing attempts optimizing seed matches suffer from performing either 1) the costly similarity verification for too many sequence pairs due to finding a large number of exact-matching seeds or 2) costly calculations to find fewer fuzzy (i.e., approximate) seed matches. Our goal is to efficiently find fuzzy seed matches to improve the performance, memory efficiency, and accuracy of identifying sequence similarity. To this end, we introduce BLEND, a fast, memory-efficient, and accurate mechanism to find fuzzy seed matches. BLEND 1) generates hash values for seeds so that similar seeds may have the same hash value, and 2) uses these hash values to efficiently find fuzzy seed matches between sequences. Results: We show the benefits of BLEND when used in two important genomics applications: finding overlapping reads and read mapping. For finding overlapping reads, BLEND enables a 0.9×-22.4× (on average 8.6×) faster and 1.8×-6.9× (on average 5.43×) more memory-efficient implementation than the state-of-the-art tool, Minimap2. We observe that BLEND finds better quality overlaps that lead to more accurate de novo assemblies compared to Minimap2. When mapping high coverage and accurate long reads, BLEND on average provides 1.2× speedup compared to Minimap2.