SteamOS doesn’t support Nvidia even though Arch does
You misunderstood what I wrote… (I could have worded it better), but I didn’t mean that SteamOS was a viable option; instead, I meant Manjaro (Arch) was a viable option.
Not sure why someone down voted my post as it is technically sound, but to be 100% transparent, I’ve been running a headless linux Fedora server on Nvidia hardware for this very purpose (among others) since 2017.
I would still strongly recommend that you use Ubuntu since that is what you are most comfortable with, but Fedora or Arch is viable as well.
My linux server is wired to the router, but I use SteamLink hardware with 5GHz wifi. I haven’t tried Moonlight & Sunshine, but I have tried a myriad of different hardware running the SteamLink app, but the SteamLink Hardware > RPI 4 > RPI 3 > CCwGTV. For me, the SteamLink hardware has always been reliable enough that I didn’t need to explore other options, but YMMV.
I would strongly recommend that you disable Wayland and continue to use X for various reasons, but the three most important reasons:
If you end up switching to AMD GPU in the future, you still don’t have to have an HDMI dongle, but the AMD process of injecting an EDID is much less user friendly to the point where you will want an HDMI dongle. :-)
I connect to my server via SSH and if I need to see the screen, RealVNC on my phone… no monitor, keyboard, or mouse connected except when I might want to update the BIOS or something.