Is it possible to fill an object with lets say 1000000 particles on frame 1 and create object shape with those particles?

Yep!

1 - Convert your original object into a volume with an IsoOffset node
2 - Scatter points inside your volume with a Scatter node with how many points you want
3 - Convert your points to VDB with a VDBfromParticles node, you'll have to adjust some setting to make the SDF visible.
4 - Convert to a mesh with a ConvertVDB node set to Polygons.

You may need to adjust the shape of your VDB before you convert it to polygons. There are a bunch of nodes you can use like VDB Reshape, VDB Smooth etc

Sean Rowe
Yep!

1 - Convert your original object into a volume with an IsoOffset node
2 - Scatter points inside your volume with a Scatter node with how many points you want
3 - Convert your points to VDB with a VDBfromParticles node, you'll have to adjust some setting to make the SDF visible.
4 - Convert to a mesh with a ConvertVDB node set to Polygons.

You may need to adjust the shape of your VDB before you convert it to polygons. There are a bunch of nodes you can use like VDB Reshape, VDB Smooth etc

Thats is an swesome trick. Thank you for sharing.

II think the first two bullets did the trick. Now I need to figure out how to use it as particles and use it with colliding geometry. So far I emitted particles from points and use collider object to interact with it. Didnt work yet as I was hoping. Its a process