I agree that limiting it to ONE item isn't always practical. I would allow a backpack full of stuff (as long as it stays within the 20 pound limit).
In one of the games I currently play, my PC is an evil wizard with a glove of storing. In a recent encounter, we defeated a major villain with a powerful, evil sword. I wanted it but the other PCs wanted to destroy it. Since my wizard can cast disintegrate (and the other PCs know it, I even used it in that very battle), I told them I would comply. I made a few flamboyant gestures and tucked the sword into my glove. The other PCs think I destoyed it and I get to keep it.
And, BTW, the glove has been errata'ed to needing only a free action to store and retrieve.
Another tactic I use for it is to keep a potent scroll or wand in it so I can retrieve it for free, use it, and tuck it back away. All during combat when I also want to keep a hand free in case I need to cast a spell.
I love that glove.
In one of the games I currently play, my PC is an evil wizard with a glove of storing. In a recent encounter, we defeated a major villain with a powerful, evil sword. I wanted it but the other PCs wanted to destroy it. Since my wizard can cast disintegrate (and the other PCs know it, I even used it in that very battle), I told them I would comply. I made a few flamboyant gestures and tucked the sword into my glove. The other PCs think I destoyed it and I get to keep it.

And, BTW, the glove has been errata'ed to needing only a free action to store and retrieve.
Another tactic I use for it is to keep a potent scroll or wand in it so I can retrieve it for free, use it, and tuck it back away. All during combat when I also want to keep a hand free in case I need to cast a spell.
I love that glove.