A new login technique is becoming available in 2023: the passkey. The passkey promises to solve phishing and prevent password reuse. But lots of smart and security-oriented folks are confused about what exactly a passkey is. There’s a good reason for that. A passkey is in some sense one of two (or three) different things, depending on how it’s stored.
Since you should use a password manager anyways, it wouldn’t make a difference if they get a randomised password or public key.
If they get your password they can impersonate you to the server. They can’t do that with just the public key part of your passkey.