Thanks to the RBI you need to go through the full KYC process - basically the same as setting up a business bank account. This in not low friction.
With banks you always go through KYC/AML, this is nothing to do with bitcoin, and everything to do with banks.
Well everything to do with the RBI regulations on bitcoin in India. The end outcome is that bitcoin is not a viable option to solve the India payment problem.
If your legal system is fucked, that's not bitcoin's fault.