The 'create' option and the 'remove_button' plugin break if you use selectize with an html5 web page served with content-type application/xhtml+xml.
With this combination, the named character entities aren't defined; only the xml-specific named entities set are available. The web browser objects to … (used by 'create') and × (used by 'remove_button') when they are added to the DOM.
If you replace these named entities with … and × respectively, both features work perfectly.