To help keep your data assets well organised, you can create folders within the Files tab. Simply navigate to the ‘Add’ menu and select ‘New folder’ and set the name. Select ‘Create new folder’. Creating nested folders within folders is easy too; once you have navigated to the correct 'parent' folder, simply the follow the steps above to create new subfolders within it.
Creating folders in Blob storage
Currently, it is possible to follow the process above to create a folder in the Blob storage. Due to the nature of blob storage, folder hierarchies cannot exist without content, so you won't be able to see your folder when it is created. We already have plans to fix this.