Yes, this is a very common and entirely acceptable practice across the Muslim world — a child can be formally named ‘Muhammad [Second Name]’ (such as Muhammad Ali, Muhammad Yusuf, or Muhammad Zayn) and then be called by the second name in daily life for practicality. This tradition exists precisely because ‘Muhammad’ as a first name is exceptionally common, and using a distinguishing second name as the everyday ‘call name’ avoids confusion among family, friends, and at school, while the full name still formally carries the blessing and honour of the Prophet Muhammad’s (peace be upon him) name on official documents and in formal contexts. This is not considered disrespectful in any way — it is simply a practical convention widely used and accepted across generations.