In fact, crypto is far from alternative and in terms of usage, at the moment they shouldn't even be compared. Can you have Bitcoin offline, in your hands? No, you can't give someone Bitcoin and get the change back. It only works online and then, it's still very impractical.
There are so many details that we can talk about. First of all, the government won't implement a currency that's created and managed by unknown developers. Also, for a crypto to be an alternative of fiat, needs to be as flexible as fiat is. I should be able to pay on PoS terminal with my crypto wallet, I should be able to have Card of my crypto wallet.
I think that cryptocurrencies are not from fiat niche, they are a new type of currency with its pros and cons but at the moment they aren't meant/designed for daily usage for billions of people.
Actually, you can use Bitcoin offline. There's this thing called "physical bearer assets" which holds the private keys for you securely. Kind of like a cold storage wallet. OpenDime and Tangem cards are one of them. Paper wallets, too. You only need to be online to verify or confirm transactions on the Bitcoin blockchain.
So Russia and its allies can just send/receive Bitcoins physically like they would do with cash. They can connect to the web under the radar if they want to. As long as they use decentralized methods and do everything P2P or F2F, there shouldn't be any problem. Bitcoin can't be stopped no matter what. It's already too late for that. I guess the world will become more polarized in the future until we end up "killing ourselves". Who knows?