Set Instant Pot to Sauté. Cook 6 slices bacon until crispy. Remove and set aside, leaving a little bacon fat in the pot.
Add 4 tbsp butter, 1 small yellow onion, and 2 cloves garlic Sauté until soft and fragrant, about 3–4 minutes.
Stir in 1/4 cup all-purpose flour and cook for 1 minute to remove raw flour taste.
Pour in 3 cups chicken broth,2 cups milk and 4 large russet potatoes Stir well to combine.
Seal lid and cook on Manual High Pressure for 8 minutes.
Let naturally release for 5 minutes, then quick release remaining pressure.
Stir in 1 cup heavy cream, 1 1/2 cups shredded cheddar cheese, 1/2 tsp salt, 1/2 tsp black pepper, and 1/2 tsp smoked paprika Mix until melted and smooth.
Top with crispy bacon and 2 green onions. Serve hot.