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Hello,
Just came across this question.
Currently, DigitalOcean Droplets support KVM or nested virtualization in all regions. But it is not really recommended on the platform because there is often very poor performance.
Instead, containerization is normally the better option.
To check if this is enabled on your Droplet you could run the following command:
If this is enabled, you will see the following output:
Regards, Bobby
For future reference, I asked DO support, and nested KVM is not supported in a Digital Ocean VPS.