You have much faith in Indian policymakers to compare them to US 
I don't think they like Bitcoin. India has capital controls like China and an ongoing "war" on "black money" (which excludes government employees apparently).
China had a massive adoption of Crypto with a lot of mining. India is still in infancy of adoption so it is much easier for the government to shut down exchanges and ban trading in India without collateral damage. All these things may tempt Government to ban crypto.
But fortunately under current legal framework it is not straightforward to do that. Ratan Tata has invested in Bitcoin remittance startup. It will be a setback for Fintech ecosystem. AP government is part of Ethereum alliance. All these reasons confound government attitude towards Crypto.
I don't think they like Bitcoin. India has capital controls like China and an ongoing "war" on "black money" (which excludes government employees apparently). China had a massive adoption of Crypto with a lot of mining. India is still in infancy of adoption so it is much easier for the government to shut down exchanges and ban trading in India without collateral damage. All these things may tempt Government to ban crypto.
But fortunately under current legal framework it is not straightforward to do that. Ratan Tata has invested in Bitcoin remittance startup. It will be a setback for Fintech ecosystem. AP government is part of Ethereum alliance. All these reasons confound government attitude towards Crypto.