It all depends on what you´re looking for when asked if Iceland is a good (interesting, fun) destination for gay tourists. From a broad perspective, Iceland is seen as a good option for gay travelers simply because it´s very gay friendly. Holding hands in public won´t cause a stir and the gay scene, despite being very small, is considered open and friendly. But gay tourists as any other tourists choose Iceland for many different reasons. In general most tourists choose Iceland for its nature and unique landscape and the same probably goes for most gay tourists as well.