You might be able to find a super lightweight desktop distro out there (I think Damn Small Linux can run on those specs?) or you could repurpose it as a basic server of some sort like you mentioned. Unless you wanted to invest in some cheap old ram to throw in there and maybe make it a bit faster, then I think those would be your best options.

I’ve been using it on my Fedora laptop for the past week or so and it’s really nice, even in alpha 1! Can’t wait to see how it turns out fully finished!