Azure Virtual Desktop just removed the last major reason you still need a domain controller.
FSLogix profile containers for cloud-only and external identities are now Generally Available.
Pooled host pools. Persistent profiles. Zero AD DS required. 🧵 #AzureVirtualDesktop
You really should use (g)MSA's instead of user accounts for services, IIS, scheduled tasks, SQL, etc.
Even if you have a cred vault that rotates and handles dependencies, MSA's are probably still better.
Read Steve's thread for how they work, then this one for how to use them.