Well, there’s nothing wrong with that at all. The only thing I was thinking is that you would then also have the rest of the Proxmox server to do other server things with.
For instance, you could set up an LDAP server and create a centralized login for your home domain And have that separate from your portainer setup so that if you make a mistake you don’t end up having to redo your portainer setup.
You could also use it as a VM host to try out different flavors of Linux and see if any of them make any more sense to you.
Even though it’s not recommended, you could also host Truenas on top of Proxmox.
There are good reasons to use virtual machines separate from another virtual machine.
I use readable names.
I’m using one system for testing purposes, so it’s called testingPC.
Any containers are named for the container purposes, like my pihole is named pihole.
My system is so boring that any person were to pick it up after I got hit by a bus would be able to figure out everything.