steps to reproduce:
make a world on minecraft bedrock edition 1.17.0
get an axolotl(/summon, egg, bucket, naturally...)
find water(bucket, naturally)
when you take the axolotl with a bucket it doesnt remove the water and since bucket of axolotl is also a source it doubles the water making it infinite
possible fixes
make the axolotl only takeable when on a full water block
make the water block which axolotl was previously on disappear
Linked issues
Comments

There was no misunderstanding. This is a duplicate of MCPE-40692, which is resolved as Works As Intended.