The default way to access an new EC2 instance is by using your key-pair.
How can I allow other users to connect to my instance, without giving them my keys? (Ideally, I'd like them to be prompted for user/password on login)
This error occurs if you created a password for your key file, but haven't manually entered the password. To resolve this error, enter the password or use ssh-agent to load the key automatically. There are a number of reasons why you might get an SSH error, like Resource temporarily unavailable.
Edit /etc/ssh/sshd_config and set PasswordAuthentication
to yes
.
Enter the command sudo /etc/init.d/sshd reload
.
Then you could Create a User with:
useradd USERNAME
(check the man for options on how to set home directory etc...)
Then
passwd USERNAME
You will be prompted for a New password
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