What kind of development do you do? In theory, it's possible for a lot of roles. If you can get your environment working smoothly on a distro that Distrobox supports then you should be able to work on it.
I'd love to see someone rock up to the office with a Steam Deck, plug it in, and just start working. That's quite the image.
[1] The Steam Deck has a kind of A/B boot. By default it loads into Gaming mode and the other is Desktop mode. In Gaming mode, most apps and services aren't running (as far as I can tell but now I want to check) so I don't think you could ensure a server stays running in the background if you switched back to Gaming mode. On the other hand, you could live totally in Desktop mode and game from there, only losing the nice Gaming mode GUI.