God is a conventional name for the object with dbref #1 and the role that object plays. God typically has all of the powers of a Wizard, as well as additional capabilities such as the ability to set the Wizard flag on players, the ability to change configuration options, and other abilities which begin to touch upon shell access (e.g., the ability to wipe out game logfiles).
Many games @name #1 to be the deity of their story's universe.
Best practice is to use God only as an administration tool when it is necessary to perform God-only tasks and eschew using #1 as a game character or even as a staff persona.
In PennMUSH, #1 is named 'One'.
In TinyMUSH and TinyMUX, #1 is named 'Wizard'. That is, #1 is the Wizard among Wizards.