Do i need dropbear if i want to set up a router with vpn capability using openvpn?No. Take a look at the description of openvpn.lrp and openvpnz.lrp at http://leaf.sourceforge.net/mod.php?mod=userpage&menu=91017&page_id=51 and you'll see that dropbear is not among the requirements.
Personally, I wouldn't want to use a router that didn't have any means of logging in remotely via ssh, but that's just personal preference.
Martin
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