Combine warm water, yeast and 2 teaspoons sugar in a glass measuring cup. Let sit 5 minutes or until foamy.
Pour mixture into the mixing bowl of an electric stand mixture. Add butter, egg, and vanilla extract. With the paddle attachment, beat until mixed.
In a medium bowl, whisk together flour, sugar, salt, cinnamon, nutmeg, and baking powder.
Add flour mixture to yeast mixture and beat until combined.
Switch to the dough hook and beat at medium speed for about 8 minutes.
Shape dough into a ball and place into a bowl that has been lightly greased with oil. Turn dough to coat it in oil. Cover with plastic wrap and let rise in a warm place until doubled in size, about 1 1/2 hours.
Roll dough out into a 10-inch square on a lightly floured surface. Sprinkle lightly with water and place blueberries on the bottom half of the dough. Fold the top half over and pinch to seal the edges.
Roll dough out into a 10-inch square. Use a pizza cutter to cut dough onto 1-inch pieces.
Lightly grease a baking sheet. Divide dough into 10 mounds on the baking sheet. Cover and let rise for 30 minutes. Cover either with a clean kitchen towel or plastic wrap that has been coated with cooking spray.
Meanwhile, make the glaze. Place butter in a small saucepan and cook over medium heat until it smells nutty and turns a light brown color. Keep warm until you fry the fritters.
Pour 2 inches of oil in a Dutch oven and eat to 350 degrees. Fry 2 to 3 fritters at a time for 1 to 2 minutes per side. Place on a metal rack set over a baking sheet.Repeat with remaining fritters.
In a medium bowl, stir together all glaze ingredients. Dip the warm fritters in the glaze or spoon it over them. Serve warm.