Heat oil in a pan over medium heat and add cumin seeds. Once they start popping and releasing aroma, add the chopped onion and minced garlic, sautéing until the onion turns translucent and fragrant, about 3-4 minutes.
Add ground coriander, turmeric, and garam masala to the pan, stirring constantly for about 30 seconds until the spices are fragrant and toasted lightly.
Pour in the tomato puree, stirring to combine everything well. Let it simmer gently for 5-7 minutes until the oil starts to separate from the tomato base, indicating it’s cooked through.
Mix in the strained full-fat yogurt and blended cashews, stirring continuously to create a smooth, creamy sauce. Cook for another 3-4 minutes until the sauce is thick and fragrant.
Gently add the paneer cubes into the sauce, folding carefully to coat each piece without breaking them. Cover and simmer on low heat for 5-8 minutes until the paneer is heated through and tender.
Finish by sprinkling chopped cilantro over the top and giving the curry a gentle stir. Serve hot with rice or naan, garnished with extra cilantro if desired.