Fedora uses it by default on KDE Plasma and Gnome. It even removed Xorg support for Gnome (and maybe Plasma. Can’t remember). Ubuntu uses it by default with Gnome. Any distro which leaves the DEs on their default settings gets Plasma and Gnome running Wayland by default.
This isn’t a replacement for cut & past. It’s for creating a new folder and moving the files into it, not to an existing folder.