On the Quiz creation page, choose Fill-in-the-blank (blue icon with 3 small dots) in step 2 "Questions" and click on ADD

Write your question, then click on CREATE

On the page for creating your gap-fill question, enter your entire text (including the words to be found) in the white box in step 1 "Options".
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Select each of the words to be found and click on convert to hole above the white box of your text. They will be replaced by text fields to fill in during the exercise.

Choose "Strict" if you want points to be awarded only if the word is spelled exactly the same as the one you hid, or choose "Partial Credit" if you want to allow a small difference to be tolerated

Save

(Optional) In step 2 "Options" you can add a picture or video and a description.

Don't forget to save.