It is like the desktop as a file in a folder, the folder being the home folder, in this case Ubuntu. You cannot uninstall the home folder from the desktop.
You can’t pull any .desktop file to the desktop, it just runs back. Same with a image, just runs back to the Picture folder, from which I tried to pull it to the desktop. Neither a .txt file. Everything runs back.
There aren’t any icons shown for .desktop files.
You can drag or copy & paste an image to the Desktop folder, which in turn appears on the desktop, but you cannot drag it from the desktop to any place. it runs back.
You can drag the New Folder you created on the desktop to you Home folder (Ubuntu here), but you can’t drag it back to the desktop. It runs back. It is same with any .txt file or anything else. It just runs back.
These are first observations. I’m sure it’d get better in the near future.