Daxam is a former Kryptonian colonial outpost established during the Kryptonian Expansion. The planet, following the genocide of its people and terraformation by Kryptonian World Engines, is now barren and devoid of life.
Around 18,000 years ago the Kryptonians began a period of expansion from their home world. The planet was picked as a settlement place due to its proximity to a Red Sun. Not long afterwards the first Kryptonian settlers landed on the planet and set up a colonial outpost.
Centuries later the policy on colonialism on Krypton was changed and all colonial planets were abandoned. After being abandoned and cut off from Krypton the resident inhabitants on this colony exhausted their own supply resources. As a result they died out in isolation.
Serving the Sword of Rao
Millennia later after Krypton itself had been destroyed, General Zod lead a small group of survivors through the universe seeking out the old colonial outposts in hopes of encountering any other Kryptonians. This eventually led them there. He found it full of nothing but Kryptonian remains. His forces took anything worth salvaging and then left the planet.