How to create a Drupal 8 distribution So I have this Drupal 8 site with its custom theme, some blocks, menus, content types, views and other more stuff. What I am required to do is create a site distribution of this site for drupal.org, but I have absolutely no idea of how to do it. 

I created the profile folder in doctoot/profiles and created the info.yml with the profile basic information. I also have the .install and .profile files but they are empty. These files were created using drupal generate:profile

After that I exported the config YAML files using drush config:export, but they were created in config\sync in the profile folder, but I saw in another distributions that these files are located in config\install rather than sync,and I don't know if that makes a difference. 

I don't have anything besides that and I don't know what to do after that to configure things in the distribution in terms of theme and configuration. I have the project page in drupal.org already with the git configuration. Hope you can help me with this issue.
What you need is to create an installation profile.

Follow the instructions on drupal.

How to write a D8 profile

Move the files from the config/sync folder to config/install folder. Be sure to delete core.extension.yml and remove all UUIDs.

Optionally, you can try this project:project config_installer