So what in the world is an Axolotl!? 

An axolotl is a type of neotenic salamander, and that means they do not  morph into terrestrial salamanders! In certain instances they have morphed but it is uncommon. 

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The Axolotls we see today in the pet trade are not full blooded mexican salamanders, they have been crossed (many many generations ago) with the Tiger salamander.