If it were supported on Switch 2, it would be useful. It's solving a slightly different problem than nanite. Even with nanite or mesh shader based dynamic LOD solutions, the BVH used for ray tracing is typically much lower fidelity than the geometry used for rasterised steps, as ray tracing geometry isn't limited by the bottlenecks that nanite and mesh shaders are designed to overcome. It's limited by storage space, traversal time and building time, all of which are proportional to the size of the BVH, and including lots of fine detail in the BVH is impractical due to the size it can grow to.
Displacement micro meshes attempt to solve this problem by replacing fine geometry in the BVH with micro meshes. Instead of having a subtree with a few hundred triangles, you can replace it with a single displacement micro mesh which can be consumed and processed natively by the RT hardware. There's no real way you can replicate it on hardware that can only perform ray tracing against triangles in a BVH, other than just adding all the triangles to the BVH directly and taking the performance hit.
With only a relatively small percentage of PC GPUs (for now) supporting it, I'm not sure how much use it will get. My guess is that any PC games which do support it will simply disable it on non-Ada hardware. Just treat the triangles with displaced micro-meshes as flat triangles for the purposes of ray tracing. Which probably wouldn't be any different to the quality of ray tracing geometry that's currently in use.