Thanks for this informative post I think government shouldn't come after minnows who try to make their ends meet my trading a few cryptos & doing some freelance work. They already failed miserably to provide jobs for the youth, there is no way government can track gains on cryptos and tax will come to picture only when it is withdrawn to bank account.
Government should go after people who are trying to send a large amount of money out of India as cryptos but again they will have enough money to fight this legally. I pay my taxes even though they loot me and don't utilize it properly. If Government is envy of crypto growth then they should collaborate wit crypto companies, for example CIVIC project will be better than AADHAR which is a mess with privacy of people. The government which is open to blockchain & cryptos will boom!