Nobody uses it in Latin America. It's as latino as Taco Bell chalupa supreme.
It's just another term from the keep-people-angry industrial complex. No latino I have ever known donates to the "latinx" organizations. So they don't represent the "latinx" voice but rather whoever is funding them.
As silly as Latinx is, I don’t think that’s a valid argument. Nobody uses the term “Italian American” in Italy either. It’s quite specific to Latin-American populations in the USA
As I was saying, it's terminology used by people who had little to no connection to Latin America. People over there hate it and think it is the purest form of cringe.
If you go to an authentic restaurant in the US with latinos in them and call them latinx they will probably either laugh at you or tell you that nobody uses that term, and that they would never identify themselves as latinx.
Latinx is a term used by imperialists to tell their subject population how they should identify themselves. If you use it, you are implicitly identifying yourself as pro-imperialist. Don't be surprised when people react badly to that.
I'm not a fan of the term either, but this is a wildly inaccurate generalization.