here It was just screen recording of me accessing the wallet and showing transaction that was sent to coinswitch.
That's too invasive, though.

I have seen exchanges asking for proof of funds but not in this way but what option do we have, we go through p2p and take the risk of bank account freeze or choose exchanges with some psych level policies regarding KYC.
IMO if Coinbase enters we might have BTC/INR pair that will be a game changer...