In a blender, make a smooth paste of 100 grams cashew nuts soaked in water for 30 minutes, and set aside.
Marinate 500 grams of chicken pieces with 200 grams of yogurt, 1 teaspoon ginger-garlic paste, 1 teaspoon red chili powder, 1/2 teaspoon turmeric powder, 1 teaspoon garam masala, and salt to taste. Keep it aside for 30 minutes.
In a pan, heat 2 tablespoons of ghee or oil, add 1 finely chopped onion, and sauté until golden brown.
Add the marinated chicken to the pan and cook on medium heat for 10-12 minutes, stirring occasionally.
Add the cashew paste to the chicken and mix well. Cook for another 5-7 minutes.
Pour 1 cup of water into the pan, cover, and let it simmer for 15-20 minutes or until the chicken is cooked and the gravy thickens.
Garnish with chopped coriander leaves and serve hot with naan, roti, or rice.