Docker in LXC can be a pain, especially when using backups as the Overlay2 filesystems don’t really jive with the way Proxmox does backups. And forget about running Docker in an unprivileged LXC.

Running in a VM is perfectly fine though; not sure what issues anyone has there. I ran on big beefy servers with 24 cores and tons of RAM though.

It was nice to be able to move my services between machines using a live migration while doing updates though; but again you have to be set up for that. My entire network was managed with twin OPNSense routers as VMs in Proxmox; they handled their own failover and so I could just shut down one at a time to run updates, even to Proxmox itself, and when it came back up then I could work on the other one. But, I wanted to learn all that and have zero downtime so the wife wouldn’t get mad every time I botched something (which, especially in the beginning, was often)

If you don’t have the money or time and just have one server box with a normal amount of RAM and disk; Proxmox is probably overkill unless you want to experiment with VMs or Linux containers. It’s an awesome product and I will sing its praises all day, but if you just want some docker containers you can make a far simpler setup; although I will say that the “overhead” is way less than you might think.