Allow users to run their own isolated LXD daemons?

LXC unlike LXD can be used to run containers under any unprivileged users but the set up is a little rough and requires the admin to do stuff for each user so I would like the ease-of-use of LXD but allow each unprivileged user to run their own LXD containers without access to other users’ LXD containers; is it possible to run LXD daemon under an unprivileged user or does that feature need to be added?

It’s not possible and unlikely to be added. A lot of the convenience that LXD provides is because we get to use all kernel features thanks to us running as root.

One option would be for the administrator to create one container per user with nesting enabled and then allow each user access to their own container, either through some kind of wrapper script or through ssh.