i made a system for my obliterator.
i have a cart next to my main base entrances (with the obliterator itself taking up one of these "cart spots") which i continuously drop trash into every time i get back to base after a farm run.

useless crap like bukeberries, stone, wood, certain trophies, bones, leather scraps/boar trophies + wolf pelts/teeth/trophies (from butchering), various tree seeds, greydwarf eyes and any other inventory clutter goes into the cart immediately upon return to base.
(you could use chests for this instead obviously, i just opted for carts because they are cheap, movable and has more space than a basic wood chest)

after 5-6 runs out in the open world, the obliterator and carts will be near full, at which point i "recycle" it all for a stack or two of coal.

beats chopping wood and using kilns or at least as an addition to doing that. removes some of the tedious need to constantly chop wood just to fuel fires, kilns and by extension smelters.

im basically just happy it has a function besides being a garbage can, and it makes the fact that trash drops clutter inventory space much less frustrating to deal with since in the back of your mind you're like "eh, free coal i guess".