Well, there are a lot of interesting and informative responses on this thread, as well as a lot of angst and ruffled feathers, and probably some misunderstandings too.
Whatever you sing and/or play - covers, originals or both, if you and your audience and your venue are happy, it’s a win.
My own experience (ymmv) is that most audiences are more appreciative of songs / music that they are familiar with. Of course, there are are people who want to listen to original music too.
If you want to do strictly originals - go for it, and seek out venues and events that welcome your original music.
If you want to do only covers - go for it, and seek out venues and events that welcome your cover arrangements.
And if you want to do covers and original music - go for it, and seek out venues and events that welcome your approach.
Enjoy your life and your music, and if you perform for others, may your music bring happiness to others as well.
