It's about being cautious. If we want secure systems for the masses, we need to advance cryptographic defenses faster than we have proofs the attackers are advancing.
Most crypto we consider broken today "had zero evidence that anyone would ever break it" before it actually happened...
The only role your SSH key plays (which is why you can use Ed25519) is to make signatures. So, if the government discovers next Thursday how to break my archaic RSA key, they don't magically get to read transcripts of SSH sessions they recorded, they only get some sort of attack that could help them to impersonate me on fresh connections after Thursday.
Essentially the authentication step goes like this:
You: I know the private key corresponding to this public key 123456, does that help?
Server: (Examines authorized_keys list) That would work, prove you know that key
You: <Signature of SSH setup transcript using private key>
Server: Welcome southerntofu
All this is happening inside an encrypted session. Your client (and remote servers) automatically negotiate the safest mutually intelligible session key agreement and encryption to set that up, independent from stuff like your personal keys.
If you design software, then yes you should put mechanisms in place to replace older and less secure ciphers with new ones, and prefer and limit the ones you chose for some who are considered safe at the moment. But I don't think we should put red flags all over a cipher or a hashing functions because someone with unlimited resources and money managed to fool it once.
The inherent uncertainty of cryptography seems to cause people to want to do something, anything, in an attempt to decrease the uncertainty, even if there is no rational reason behind the approach.
And use the primitives advised by the organization you trust the most
Sure in that national level entities could in theory crack 1024 RSA. They would be stupid to tie up such a valuable resource for a year or so on breaking a single SSH connection. They would instead use it on something that got them thousands or even millions of connections.
>If it has 3072 or 4096-bit length, then you’re good. Less than that, you probably want to upgrade it.
There is zero evidence that anyone will ever break 2048 bit RSA short of some sort of huge breakthrough. I don't know where these claims are coming from...