> when they are not traversing a medium that can be observed by a third party
Isn't that why all those security experts are pushing for SSL everywhere and 30 second certificate expiration? To make the medium unobservable by a third party?
If you believe them, passphrases should be okay over fiber you don't control too.
One thing I forgot to mention is what the trust relationship looks like. Passphrases used for authentication are known by both parties and could be leaked by the other side or stolen from them, while private keys remain only available to you. With public key authentication, the other party only has your public key, which is freely shareable.
And yes, we all know that 2FA, passkeys, etc. are all better than passphrases, and that layer 3 wire encryption is important.
I’m merely responding to your blanket assertion that passphrases aren’t “secure enough,” but sometimes they are.