Turn on SAUTE mode, add avocodo oil and butter.
Once the butter is melted, add cloves, cardamom and fry for few seconds.
Add onions, sauce until transparent which tastes about 1-3 minutes.
Now add tomatoes, green chili, ginger, garlic, cashews and turn off SAUTE mode.
Set the instant pot on MANUAL or PRESSURE COOK for 2 min, vent sealing.
After timer goes to warm mode, turn off and do natural release.
Using an hand blender, blend the mixture into smooth and silky gravy.
Now add Kashmir red chili powder, turmeric, coriander powder, salt, Garam Masala, sugar and water to thin out the gravy.
Close the instant pot lid, set the timer on PRESSURE COOK for 6 min, vent closed. When timer is done, do quick release or natural pressure release.
Add paneer, cream and hand crushed Kasuri methi, close the lid for 5 minutes, so paneer becomes soft from retained heat.