In a pan add 250ml of water and add chopped onions, magaj and cashew. Bring it to boil and allow it to simmer for 2-3 minutes.
Strain it and Let it cool. Reserve the liquid to add it to gravy later.
After cooling, grind the cooked onions, cashew and melon seeds into smooth paste.
To make shahi paneer gravy, In a pan melt the butter and the ghee.
Add bay leaf, green cardamom, cinnamon, black cardamom and shahi jeera.
Allow them to crackle and become fragrant. If you like to add ginger garlic paste you can add at this stage
Add in the ground onion and cashew paste.
Now on medium to slow heat cook this masala till it starts to leave the sides of pan.
Add-in turmeric powder, red chilli powder, black pepper powder and fry the masala for 2-3 minutes.
Add yogurt in the pan at this stage.
Cook the masala a little more till yogurt is well incorporated in the gravy. At this stage keep stirring it continuously otherwise yogurt may split while cooking.
Now add the liquid in which onions and cashew were boiled.
Add little more water to adjust the consistency of the gravy as per your preference.
Add salt as per your taste.
Bring the gravy to a boil. Add cream and malai and stir it till well incorporated.
Now add saffron strands and mix. Finish with very small quantity of kasuri methi and add paneer cubes.
Cook for 4-5minutes and your shahi paneer is ready.
Serve the shahi paneer either with jeera rice or butter Naan.