VSCODE SSH Server Error

See 24.10.1 release notes:

The boot pool is now properly enforcing the default setuid and noexec options (NAS-127825). This restores the default boot pool behavior to be restricted from general use. Users that are currently attempting to exec scripts from a /home or other boot pool location should move these to a data pool location.

There was an upstream ZFS bug whereby noexec was not being properly enforced on boot pool datasets.