There seems to be two different problems.
Fix the impossibility to initialize the node
(It looks like you already did that)
The simplest solution may be to clean up and restart.
WARNING: This will remove all your accounts and participation keys. If you use kmd (or goal account ... / goal wallet ...) and did not backup mnemonic, you may lose Algos).
To clean up and restart:
- Stop the node
- Remove all files/folders from /var/lib/algorand EXCEPT
genesis.json, config.json (if present), system.json (if present)
- Start again the node
If the node is non-archival, you can then re-use fast catchup.
If your node was archival, you will need to do normal catchup which takes currently around a week.
Fix the participation key issue
Most likely the reason is that you have some permission issues and you generated the key with the wrong user (either your user or root).
With the Debian/Ubuntu package, you need everything in /var/lib/algorand to be owned by the user algorand and the group algorand.
You can stop the node and do:
sudo chown -R algorand:algorand /var/lib/algorand
In the future, always run any goal command (that modifies data) using the algorand user:
sudo -u algorand -E goal ...
See Install a node - Algorand Developer Portal