The Axolotl is Minecraft’s newest and cutest underwater creature added to the game in the first Caves and Cliffs update. We have covered various aspects of the multi-colored amphibian and how they react to the world around them. For a detailed look at how you can use them to your benefit, check out our What do Axolotls do in Minecraft guide.
While the Axolotl is helpful in life, some creatures in the game have additional benefits to you even after death. Cows, for example, will give you milk while alive, but you kill them for beef and leather. So does the Axolotl drop anything upon death?
As of this writing, we have only found experience orbs to drop from Axolotls when they die. To test this, we built a tub and spawned in dozens of the cute creatures. While we recognize how grim it is, we then slew them all, and we were only rewarded with experience upon each kill.
With the above being found, we can say that you are much better off keeping an Axolotl alive if it is around you. If you help it kill a creature it is attacking, they will remove mining fatigue and give you Restoration I. Much more helpful than basic experience that you can get from any other mob in the game.