It’s not super powerful. There’s no much sense to run a desktop on it. Its strong side being underpowered, it barely sips electricity. If you need a cheap desktop, there’s plenty of used hardware to fill that place.

I run it headless, with an SSD attached for storage (perhaps my power supply was underpowered, the HDD wasn’t very stable, the SSD is stable for me). I’m running: syncthing, Pi-Hole and Unbound, web server with many small sites and services I made for myself, and a huge number of bash scripts for personal automations. They do render my static websites, the local versions. Also it runs Tailscale. Perhaps I have something else there, need to check, those came to my head first.

Overall, not that you can run everything under the sun with this board, but it’s quite capable, actually. I love it that it’s the most energy efficient (or one of the most) among Raspberry Pis, and it can do a lot. Another board worked with a TV having Kodi box (I installed LibreELEC for it), it was pretty capable too. It is able to play 1080P H264 content easily. It’s not that impressive these days, but ten years ago it was pretty impressive.