So I think we've figured out the reason it wasn't working... dropbear ssh still running (with a different password than your openssh server) on port 22 caused a conflict with openssh server which was also trying to use the same port. Once you moved openssh to port 1400, it was able to run and accept connections.
You can:
- disable dropbear and move openssh back to port 22
- change the port for dropbear to somethign else and use openssh on port 22
- stick with openssh on a different port (1400 in this case).
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