I've contacted PhonePe care and I got this reply from them.
Thank you for contacting PhonePe!
We understand your concern.
With Regarding your recent query, Ticket No:********, we would like to inform you that on checking your PhonePe account details we see that you have completed your Basic KYC through PAN_CARD and wallet balance withdrawal are not allowed in Basic KYC.
However, please note that E-KYC (Aadhar card) is disabled temporarily and you will not be able to complete the E-KYC as well, but you can utilize the wallet balance for making P2M transactions (Recharge, BillPay, online/offline Shopping across PhonePe).
We are looking for a permanent solution and the same will be updated soon.
We appreciate your understanding on this.
Please feel free to contact us if you need any clarification.
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