Preheat your oven to 375ºF. Generously butter a 2-quart baking dish to prevent sticking and set it aside.
In a food processor or blender, combine 1 tablespoon of the softened butter, blended cottage cheese, whole milk, dry mustard, cayenne pepper, nutmeg, salt, and black pepper. Blend until smooth. Then add all but 1/4 cup of the shredded sharp and mild cheddar cheeses, and pulse just enough to combine. I like to use freshly grated nutmeg here for a warmer, more vibrant flavor profile.
Pour the cheese sauce mixture into a large bowl. Add the cooked elbow pasta and stir to coat the pasta evenly. Transfer the mixture into the prepared baking dish, cover tightly with aluminum foil, and bake for 30 minutes.
Remove the baking dish from the oven and carefully uncover. Stir the mac and cheese, then evenly sprinkle the reserved 1/4 cup of each cheddar cheese over the top. Dot with the remaining 1 tablespoon of butter. Return the dish to the oven uncovered and bake for 20 minutes, or until the top is browned and bubbly. For the very best flavor, I sometimes broil it for an extra minute at the end to create a crispier cheese crust.
Let the mac and cheese cool for at least 15 minutes before serving. This helps the dish set and makes for easier scooping. Enjoy!