Parallels works fine, VMWare Fusion provides a tech preview for M1 - I’m running Debian arm64 VMs this way. Both (AFAIK) don’t support x86 guests and don plan to (virtualization vs emulation). So you’d have the same issues as with as with Docker.

There seems to be a work around with qemu and UTM but I cannot speak to its performance or how viable this solution is.