Using container permissions also give you much of the permission structure you'd be looking for in your OS, much like a mobile device. I'm honestly surprised someone hasn't put in the development efforts to create a truly modern distro like Arch in containers for desktop and mobile. I think Purism is working with wlroots for Wayland. I'm looking forward to trying this with SwayWM if I can find the time, money and partners to help me with it.
Also, check out Simula for some AR/VR concepts:
That's what Fedora Silverblue is all about https://silverblue.fedoraproject.org/
I'm not sure what will happen after IBM's acquisition of RedHat but as far as I remember the last announcement was that Silverblue will get the best bits of CoreOS (in turn acquired by RedHat) and Atomic Workstation.
Take a look at NixOS. I'm not sure about containers, but it has `nixos-build build-vm` which builds a VM disk image with your current system configuration.