For the Government to consider a location a “Mini Country” it needs 3 things:
A lack of control by the Federal Government in Axoton. Meaning either a local government is not listening to Axoton, or there is no local government.
Separate or complete lack of federal law enforcement. The local government is not enforcing Federal Laws and is instead enforcing local laws, often these laws are considered illegal by Axoton. Or there is no law enforcement.
No travel between Axolotlia and the local area. The Local Government is preventing travel of its citizens in some way, either the citizens are too poor to leave, it’s too dangerous, or it is outright considered illegal by the Local Government.
Mini countries are bad, it is a legal designation that basically says “Stay away.”