Keychain has been around as long as OSX has, hence its "functional" UI. iCloud never used to be in the mix but now it is. Keychain isn't just for your personal generated & stored passwords but for system use, and you can also have multiple keychains etc.
Rather than rambling about keychain, to address your question, no I wouldn't start renaming things in there, but in a similar way that 1password recommends you set up websites by capturing the login rather than manually creating it I'd let keychain do its thing its way
If you do want a safe way to experiment with renaming though, you could create a new keychain and copy+paste items between them, but I don't think anything other than the icloud keychain will be available to your other devices.
I started using 1Password in earnest many years ago whereas I used to use keychain before for generating and saving random different passwords, This wasn't only for sync, I used windows just as much as macs, and android just as much as iphone 1Password was the thing for me at the time.
The password management landscape is very different now, and I'm finding I only rely on 1Password for legacy stuff, as there are so many (free) options out there that are competitive. I'm also considering migrating away from it
Toby