Is this a new backup configuration, or is this failure from an existing configuration?
Support for OpenSSH RSA keys were only recently added to SSH.NET. Once a new version of SSH.NET is released, we can update the libraries used by Duplicati.
(more on-topic) I wonder if Duplicati manual can permalink to the in-use version for tech detail? https://github.com/sshnet/SSH.NET/tree/2020.0.1 says lots for those who really want to know it.
The format change is obscure even with that. One almost needs OpenSSH release note on it…
Potentially-incompatible changes
================================
This release includes a number of changes that may affect existing
configurations:
* ssh-keygen(1): write OpenSSH format private keys by default
instead of using OpenSSL's PEM format. The OpenSSH format,
supported in OpenSSH releases since 2014 and described in the
PROTOCOL.key file in the source distribution, offers substantially
better protection against offline password guessing and supports
key comments in private keys. If necessary, it is possible to write
old PEM-style keys by adding "-m PEM" to ssh-keygen's arguments
when generating or updating a key.