After twelve years in exile, Pandavas had to live one year in diguise (incognito). They decided to spend this one year in disguise in the court of King Viraata (Viraata parva of Mahabharatha).
Arjuna chose to live the life of a "half man" called Brihannala, due to a curse from Urvasi of Indra Loka.
Arjuna lived the life of a "feminine man" for a year.
Brihannala and Shikhandi may not have been "gay", but their characters in Mahabharatha, which was several thousands of years old, show that ancient Indian culture was liberal and tolerant of multiple forms of sexuality.
Ajanta and Ellora also depict erotic art, including gay art.
India became "conservative" after Muslims and Christians started plundering our country and culture.
Ancient India was the most liberal in sexuality.
Draupadi had five husbands. It was unusual, but the society was liberal and broad-minded and accepted everything, without frowning upon anything.