Blowing up
If you are blowing up after a few seconds, your problem is with Blowfish.dll. The best way to fix this is to download a proper dll, for example from here:
Playing over LAN
If you want to play over LAN, you need to download and add the winsock32.dll into the game folder.
https://www.moddb.com/games/cc-red-alert-2/downloads/ra2yr-lan-fix-xp-vista-w7-x86-x64
This enables communication over UDP instead of IPX.
If this still does not solve your problem to see each other in the network option, a very simple solution is to disable all network adapters, except the one you use to connect to your local network.
For me, I only left the Wi-fi enabled, disabled the others, my friend did the same, we were on the same Wi-fi network and the game worked like a charm.
Games played by Gadratil 