Russia ceded an immense chunk of its most prized territorial posessions, leading to 11 countries declaring independence and defaulted on almost all of its international obligations. In fact, the harshness of the terms proposed by the German army was such that the German negotiators were shocked at first. The harshness of the treaty was also explicitly cited by the Allied Powers in response to German complaints about the Treaty of Versailles.
Russia’s situation was equivalent of lighting your house on fire (Ie sending in Lenin) and stripping the furniture before it burned down.
Defeat for Russia was utterly complete. The country was thrown into chaos and the aristocracy crushed and either slaughtered or exiled. Postwar, allied troops sort of intervened, but the result was pretty horrific.