They are legit and that's another thing why I left them, not only with the high fees but also with poor support. Before they are fine but I don't know why there's a sudden change of customer service. Blocking without any explanation? That is something unethical coming from a well known web wallet.
I have used Xapo before and they are legit in my opinion with the amount of technology improvement that have done on their site. But what made me left them was the high transaction fees which you are not even given the option as to whether to choose a lower fee for longer time and the likes.
I'm pretty sure that most of us here left xapo because of the high fees but with this incident, it's another reason for those people that are remaining on using them.
They have an update regarding real vault if I'm not mistaken and that is something that makes them real but I don't know if this is real until proved with evidence.