How did the Treaty of Amritsar of 1846 help create the princely state of Jammu and Kashmir?

The Treaty of Amritsar of 1846 was instrumental in the formation of the princely state of Jammu and Kashmir following the First Sikh War.1

After the British defeated the Sikh forces at the Battle of Sobraon, they sought to establish a buffer state on their northern frontier rather than annexing the region directly. Under the terms of the Treaty of Lahore, the British took control of Kashmir and its dependencies. Subsequently, the British sold this territory to Gulab Singh, the Dogra ruler of [Jammu], who had strategically shifted his allegiance to the British during the conflict.21

Through the Treaty of Amritsar, Gulab Singh was formally recognized as the maharaja of this newly consolidated, extensive Himalayan kingdom. This arrangement served British strategic interests by creating a political buffer zone between their Indian empire and the northern empires of Russia and China.1