Set the master key password and rs password attributes to continue replication.
In Adaptive Server, when you create the syb_extpasswdkey service key with the master key and you have not set the master key password in memory manually or automatically, the Adaptive Server RepAgent is blocked at startup and sp_who shows "MASTER KEY SLEEP" until you set the master key password. Each replication path has one rs password attribute that RepAgent uses to log in to Replication Server. When you drop the syb_extpasswdkey service key, Adaptive Server resets all the existing RepAgent rs password attributes. If you enter sp_encryption helpextpasswd, you see "Needs Reset". You must reset all the rs password attributes to continue replication.
See Adaptive Server Enterprise > Encrypted Columns Users Guide > Securing External Passwords and Hidden Text > Service Keys.