The move to slower hash functions is really only important when you're dealing with passwords because the input is enumerable enough to bruteforce to begin with. In general, having a fast cryptographic hash function is extremely desirable, and, for applications where the input is essentially random (nonces and randomly generated keys etc) it's fine.
[0] https://en.wikipedia.org/wiki/MD5#Preimage_vulnerability
> The .onion name is computed as follows: first the SHA1 hash of the DER-encoded ASN.1 public key is calculated. Afterwards the first half of the hash is encoded to Base32 and the suffix ".onion" is added. Therefore .onion names can only contain the digits 2-7 and the letters a-z and are exactly 16 characters long.
(Source: https://trac.torproject.org/projects/tor/wiki/doc/HiddenServ...)
Even NSA-influenced NIST recommended against using SHA1 after Dec. 2013. And when NIST recommends a deadline for change, you know you should be doing that at least 3-5 years earlier to be safe against state sponsored/NSA attacks.
[1] - https://blake2.net/