If ransomware used PayPal accounts or bank numbers those payments would quickly start being censored to cut off their payment rails. The value of crypto is all rooted in censorship resistance, not anonymity.

Wouldn't it have to be an agency in their own jurisdiction that would prevent the hacker from accessing banking services? They would make an effort to shut down the hackers bank account but not prosecute them?

The pressure point in the traditional financial system is not the Russian authorities cutting off the Russian hacker from a Russian bank, it's SWIFT cutting off the Russian bank from the global financial system.