Question related to SFTP settings

Hi, yesterday I moved to dreamhost from goDaddy (I like dreamhost much better) - I have everything working but when trying to set up SFTP (vice FTP) I see a section for a key file (image below). Where is this explained in the documentation? I would also like to understand what the “use active” slide (also in image) is used for. I can’t seem to dig up any info on either one.

Thanks for any help!!!

Norm

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