Paying the challenge fee from India
Firms list their payment methods at checkout: card is the common one, and some add crypto or a local payment option that depends on your country. We have not found an official page from a firm on Propbook that names UPI — if UPI matters to you, check the checkout page or ask the firm's support.
A card payment to a firm abroad is an international transaction: your bank may apply its own limits and fees. Ask your bank before you pay, not after.
Receiving payouts in India
Each firm sets its payout methods (bank transfer, a payment platform such as Rise or Deel, or crypto) together with its payment provider, and a provider may support India for one method and not another. Read the firm's payout page for India before you buy the challenge.
Keep a record of every fee you pay and every payout you receive: you will need both for your own accounts and taxes. Payout rules themselves (buffer, consistency rule, qualifying days) are explained in prop firm payout rules.
Not the Indian stock market
The firms on Propbook fund trading on US futures (CME contracts such as NQ and ES) or on CFDs through platforms like MetaTrader, cTrader or TopstepX. They are not Indian brokers and do not give access to NSE or BSE. If you want to trade Nifty or Bank Nifty with your own capital, that is a different product, with SEBI-registered brokers.
Rules in India: what the RBI says
The Reserve Bank of India says resident persons may undertake forex transactions only with authorised persons and for permitted purposes, on electronic trading platforms authorised by the RBI or on recognised stock exchanges, and that remittances for margins to overseas exchanges or overseas counterparties are not permitted; it warns that other transactions can lead to penal action under FEMA (press release 2021-2022/1660, 3 February 2022). The RBI also publishes an Alert List of unauthorised forex trading platforms.
Under the Liberalised Remittance Scheme (LRS), a resident individual can remit up to USD 250,000 per financial year for permitted purposes.
We found no RBI or SEBI ruling that addresses prop firm evaluations by name, so we cannot tell you how these rules apply to your case. Payouts from abroad are income you may have to declare in India. Propbook is not a law firm or a tax adviser: ask a chartered accountant (CA) or a lawyer about your own situation.