When i was in Ukraine before the war an ATM ate my debit card. Being stranded in a foreign country without an ATM card is pretty difficult. I thought that as soon as I walk into that Russian-owned Alpha Bank I would get my ATM card back. It actually took 4 days of daily visits and arguing with them in English and sometimes even in Spanish, where they asked me to write a letter to Kiev in Ukrainian, and wait a month for a decision. After that experience I was afraid to insert my ATM card into any bank machine over there. Instead I started buying Bitcoin on Coinbase and selling it at the local Bitcoin outfit for Hryvna and USD, to pay my rent.
That's cool. One day my debit card refused to work. I walked out of the supermarket into the bank that literally shared the parking lot, they told me it had been possibly compromised so they killed it so I wouldn't lose any money. They then printed me a brand new debit card right then and there, and I walked back into the store and bought my stuff.
What I'm saying is that what you experienced is not a technology problem, and nothing about cryptocurrency inherently fixes that problem. I could absolutely create a cryptocurrency that puts you through mountains of bullshit and bureaucracy anytime you want to make an account or wallet.
