On June 24, the Reserve Bank of India recently clarified that its old notice prohibiting payments related to cryptocurrencies is no longer valid. People familiar with the matter said that although the National Bank of India, HDFC Bank, Axis Bank and ICICI Bank and other large banks are still reluctant to provide services, some smaller banks such as IDFC Bank have begun to provide services for some exchanges. Now, more and more small banks feel that the market is sluggish and have banned cryptocurrency accounts.
I thought that things have became calm now in India as the RBI has no longer banned bitcoin. But if these small banks banned crypto accounts, it's already out of the power of the government.
They have all the means to ban crypto accounts if they think that it's against to their banking service and they find it awful.