I'm not from xapo nor connected with them but I say that they are a real business and legit wallet. They have a good reputation but because of the changes now that makes me think of continuing to use them, they have bigger suggested transaction fee rather than with blockchain.info but when it comes to legality, they are real.
I have found out about Xapo few weeks ago and only after there were a lot of threads about that they were fee free and now became with fees. I don't use this site, so I can't say anything bad about it, neither good.
If you want to try them, I can say they are good and one of the trusted. People are looking for free within these days and you need to remember that bitcoin transactions are not free anymore and in this world most of the things are paid and they are not scam or something like that. It's one of the best web wallet I used.
Well, bitcoin is not free from the start so there's no word "transactions aren't free anymore", But it's right that by using XAPO you can take advantage of its free charge of the fee. Though, there are some people already that said XAPO's deposit address often changed but if you have a lot of free time to contact the customer support, it'll not going to be a problem.
But keep in mind. For those who only have a really small amount of BTC below 0.001. Don't expect to use the fee-free feature.