You need to install RunInUAE, which comes with AmigaOS4 as an optional "Third Party Contribution". That is either done when finishing installation of AmigaOS4, or else you can do it later using the "Extras Installer" (?) which can be found on the left side of your AmiDock bar at the bottom of your screen. If you have deleted this installer icon, then I seem to recall that just inserting your OS4 CD will show a suitable icon on the Workbench.
RunInUAE's guide should tell you everything you need to know, but here is a description anyway:
To play a CD32 game, you need to follow these steps:
1. Start RunInUAE if it is not already running, and open it's window (by double-clicking it's Workbench AppIcon) if it has been minimised.
2. Insert the CD32 game into the CD drive.
3. With RunInUAE's window active (i.e. blue window border), press the right mouse button (I suggest moving the mouse pointer to the top of the screen first, but that is optional). That should open a menu.
4. From the menu you need to choose Control E-UAE > Boot CD32 from > CD0: (real drive).
You should now find that a new screen is opened by E-UAE for the CD32 emulation. By default the arrow keys act as the joypad/joystick, and the Right Alt or Right Ctrl key is fire. When you have finished with that game, you can quit E-UAE by pressing Ctrl-Alt-Q.
By the way, you will probably find that the game is NOT shown full-screen. To achieve that you need to tell RunInUAE to use a default screen size of 640x480 (see the Settings menu). EDIT: This will be fixed in the next release of RunInUAE, so that you don't need to worry about this bit!
Please beware that CD32 compatibility is not that great in my experience. I will quote RunInUAE's manual:
From my collection of CD32 games, I have found that only 66% of them actually
work. This is due to limitations of E-UAE.
There is no CD32 joypad emulation (!) only plain joystick emulation, so you
won't be able to play games which need the CD32's extra buttons. This is a
limitation of E-UAE.
Emulation of CD sound playback needs the analogue sound output of your CD drive
connected to an (internal) input on your sound card, otherwise you won't hear
any CD music tracks.
While you can change the "frame skip" of the CD32 emulation, you cannot save it,
nor can you change other settings (on a per-game) basis. This is due to
RunInUAE not being able to easily identify which game is in the CD drive.
NOTE: Most likely the official X1000 does not come with suitable analogue sound connections from the CD drive (as such drives are now extremely rare). However, it *may* now be possible to hear CD sounds (music) without analogue sound connections, as someone recently released a CD digital sound patch. But I have not yet tested this.
P.S. I am the author of RunInUAE.