My experience hasn't been as good as those above. I bought this phone based on the good VR experiences reported on this thread. Previously I was using an LG G3 and LG G5 with a clone of the Bobo VR Z4. I recently bought a Samsung VR headset to see if the optics were better, but surprisingly the Bobo VR looks just as good and has a better field of view.
For test files I used 4K 2D videos, a 1080P side by side 3D video (3840X1080), and 1440P 180 degree VR videos. Based on the recommendations above, I used VRTV, Moon player, as well as my old options of AAA VR, and Kodi. In all cases the image was just as pixellated as with my LG G5. I did extensive back to back testing over the last two days. I believe that unless the programs is written to support 4K the image is getting rendered down to 1080P or 1440P, then split to two eyes. Kodi reports a screen resolution of 1080P that cannot be changed.
The one time I saw pixels go away, was when I used the built in Sony Player with my 1080P 3D file. It screwed up the aspect ratio and couldn't play the audio, but the pixels went away and the image was just as sharp as I'd expect from a 1080P TV.
I'm disappointed to say the least. I plan to return this phone to Best Buy - I bought an open box version. I bet that if I used ADB to change the resolution to 4K all the time, these issues will go away. I noticed someone on this thread did that, but I'm not going to go that route.
That said, I'm sure eventually more apps will be written to support 4K, but not until suppliers like Samsung and LG start regularly producing phones with that resolution. For me, it's not worth keeping this phone until then. I'll keep my LG G5 and keep waiting.