India in no way prohibits cryptocurrencies or their trade on the stock market. Indian Finance Minister Arun Jaitley delivered the state budget for 2018-2019 when he touched on crypto problems and their use in the country.
Jaitley said:
"The government does not consider crypto as legal currency or coins and will take all measures to eliminate crypto use in financing unauthorized activities or as part of the payment system. "
Points to remember from the statement are:
Indian authorities do not recognize bitcoin as a legal tender. The Indian government will crack down on the use of cryptocurrency in illegal activities and; Indian authorities will prevent people from using cryptocurrencies as a payment instrument.
Jaitley did not comment on the ban on krypton, or reported a crackdown on cryptocurrency trading. A side note - Indian tax authorities actually use cryptocurrency trading to hunt down tax evaders.