Heat the olive oil in the Instant Pot on the sauté setting.
Add the chopped onion and minced garlic, and sauté until softened, about 3-4 minutes.
Stir in the diced potato and cook for another 2 minutes.
Add the frozen peas and pour in the broth, followed by salt and pepper.
Secure the lid on the Instant Pot and set it to high pressure for 5 minutes.
Once the cooking time is up, release the pressure manually and carefully remove the lid.
Blend the soup until smooth using an immersion blender, or carefully transfer to a blender in batches.
Taste and adjust seasoning, adding more salt and pepper if necessary.