Soft Pretzel Bites with Creamy Cheese Dip

Ingredients

• 3 1/4 cups all-purpose flour
• 1 cup warm water (about 110°F)
• 2 1/4 teaspoons active dry yeast
• 1 tablespoon granulated sugar
• 1 teaspoon salt
• 2 tablespoons unsalted butter, melted
• 1/2 cup baking soda
• 8 cups water
• 1 egg, beaten (for egg wash)
• Coarse sea salt, for sprinkling
• 2 tablespoons unsalted butter
• 2 tablespoons all-purpose flour
• 1 cup whole milk
• 1 cup sharp cheddar cheese, shredded
• 1/2 cup mozzarella cheese, shredded
• 1/4 teaspoon garlic powder
• 1/4 teaspoon smoked paprika
• Salt and pepper, to taste