Rinse chickpeas well and soak in 3-4 cups of water for at least 8 hours or overnight. After soaking the chickpeas, drain the water completely.
Start Instant Pot on saute mode and heat oil.
Add bay leaf, cinnamon stick, and cumin seeds. When cumin seeds start sizzling, add green chili and ginger paste. Saute for a few seconds.
Add tomatoes, salt, turmeric powder, red chili powder, cumin powder, and Chhole masala. Mix well and cook for 2-3 minutes or until tomatoes are soft and almost pulpy.
Add drained chickpeas to the Instant Pot, mix well, and add 2½ cups of fresh water. Mix, cover the lid, change Instant Pot setting to bean/grain mode, and set the time for 35 minutes. This is the same as the pressure cooker mode on high.
After the Instant Pot beeps, let the pressure release naturally. It will take approximately 20 minutes.
Open the lid and then add crushed dried fenugreek leaves, coriander leaves, and lime juice. Mix well.
Start the Instant Pot again on saute mode, and mash the Chhole a couple of times with a potato masher. It will help to thicken the gravy. You can skip this step if you are okay with the consistency of the gravy.
Boil Chhole on saute mode for 3-4 minutes and then transfer into a serving bowl.
Serve hot with Rice, Roti, Paratha, or Naan.