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.
I tried to switch from XTerm to GNOME Terminal. It went well for a while, and better Unicode and emoji display was nice, but then a new version of GNOME Terminal came out which broke the ability to use the Meta keys for sending an ESC prefix; it is now hard-coded to only accept the Alt keys to do that. So I had to switch back to XTerm.
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.