It means I can have an overview of a bunch of different things and keep terminals context-specific (1 terminal for htop, 1 for docker, 1 for whatever remote test environment, 1 for project A, 1 for project B, 1 for some other remote host I need for some reason, etc.) If I want to do a new task unrelated to anything I'm doing before, I don't need to break the context of an existing terminal, I just press Alt+Enter, it's automatically slotted into a place where it's completely visible and usable and I can do that task quickly. When I'm done, I can close it, again, without disturbing the context of all the other terminals. It's just incredibly freeing to have that and I feel it frees a lot of cognitive load by being able to go back to a terminal for a certain task and immediately see exactly where I was and what I did last.
Also, much like the other comments, I use task-specific virtual desktops all the time. First desktop is for all the terminals. Second is for browser/communication. Third is for project A. Fourth is documentation related to projA. Fifth is projB. Sixth can be more documentation. I often have 10 virtual desktops for different things. I don't want to imagine what it'd look like if I had it all on one desktop.