you don’t need nesting to run docker.
, LXD’s focus is system containers. That is, we run a full unmodified Linux distribution inside our containers. LXD for all intent and purposes doesn’t care about the workload running in the container. It just sets up the container namespaces and security policies, then spawns /sbin/init and waits for the container to stop.
Application containers such as those implemented by Docker or Rkt are pretty different in that they are used to distribute applications, will typically run a single main process inside them and be much more ephemeral than a LXD container. https://stgraber.org/2016/04/13/lxd-2-0-docker-in-lxd-712/
you can run docker.
lxc launch ubuntu:20.04 docker -c security.nesting=true