The multi-tool is cool if you need the extra gadgets. Also if you like to play with your stick before you light it up, the Xikar scissors allow you to trip up the cap to your hearts delight. But as far as a cutter goes, the Palio is superior. :tu
Both if you have the money. The multi tool will not self sharpen like the xi's, however I do like the feel of scissors versus the xi or the palio. The down side is that my fingers are on the big side and sometimes it's uncomfortable. Both are lifetime warranties. It's just preference. The multi tool is small and compact and you can leave it on a key ring and it's a scissor, the palio is a guilltoine.
Palio holds it edge longer than any other cutter out there, but for a scissor cut I prefer my Swiss Army Knife over the Multi-Tool. SAK cuts clean, while the MT tends to crush and then cut some of the time. Depends on the firmness of the stick. I carry a MT all the time along with a punch (prefered method). The SAK is to bulky and heavy in the pocket to carry most times.
I haven't ever used a palio, but I have the multitool and like it. I carry it on my keychain so that I always have it near. It did take a little getting used to, because if you cut a little too far down, it does seem to damage the cap more than a cut with the XI would. But if you just snip the top with a quick cut, it does a nice job. And the poker on there has saved a couple sticks for me that would have otherwise been plugged.