I am curious about this too. I am not sure, but I think whiteness functions by assigning blame anywhere but where it should be.
I don't think there are any logical steps we took to get here, except that we have the option to believe that whiteness does not exist because our ignorance seems to have few consequences. We, white people, can be unaware of the way our identity functions in the same way that cis-men can be unaware of any advantages that we have in society.
In regards to "It's easy for people to conclude the NAZIs were the problem and not the Jews" - I can only suggest that if you asked a NAZI during World War II who the problem was, they would say it was Jewish people. No NAZI would blame themself.