I do, mostly. I often ran in some terminal emulation issues with other terminals, especially when using older software.
These days, I could probably switch to another terminal, as I'm in tmux quite often, which creates those compatibility issues itself, no matter what "backend" you're using.
The developer of xterm actually maintains a battery of tests which exercise corner cases in the DEC VT protocol and ensure that xterm conforms in the manner that a real terminal would: https://invisible-island.net/vttest/vttest.html
Xterm really is a terminal emulator. Most other "modern" TEs are more like shitty xterm emulators.
These days, I could probably switch to another terminal, as I'm in tmux quite often, which creates those compatibility issues itself, no matter what "backend" you're using.