It is not about being offline. It is more about running queries locally which makes them fast enough that you do not even need a loading spinner [1].
Imagine your whatsapp client would have to do a http request on each UI interaction.
The thing I'm missing in this discussion is that there's very few people out there making whatsapp or figma. The vast majority of software development is perfectly served by submitting forms, as mind-numbingly boring as that sounds I think its true.
I feel like the primary challenge of the field of software development is actually to guard simplicity. Local-first becoming a standard is not unlike SPA becoming the standard: it hurts simplicity and digs the hole we are in deeper still.
To help with this, I think any new technology proposed should advertise when it should NOT be used. In this case, I think, this disclaimer should probably say: "most of the time, for most applications, this should not be used".
[1] https://rxdb.info/offline-first.html