That's somewhat expected creation time when not using an optimized
storage backend.

Setup zfs, btrfs or LVM for better performance.

On xenial, you should be able to just install "zfsutils-linux" and then
run "sudo lxd init" to setup zfs. Note that it requires all existing
containers and images be removed first.

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https://bugs.launchpad.net/bugs/1547190

Title:
  LXD Power8 container hangs and slow creation

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