How do I clone or make a copy of a Droplet?

To make a copy of a Droplet, first take a snapshot of the Droplet you want to copy. If you want the copied Droplet to be in a different datacenter than the original Droplet, make the snapshot available in that datacenter. Then, use the snapshot to create a new Droplet.

Snapshot a Droplet to save the contents of the Droplet’s disk.
Create a new Droplet from a snapshot or restore a Droplet to an older point in time.

You cannot create a Droplet with a smaller disk than the one you took the snapshot of.

The copied Droplet will have a new IP address. If you want to redirect a domain name from the original Droplet to the copied Droplet, you need to update its DNS records to point to the copied Droplet’s IP address.

No, you cannot downsize a Droplet using a snapshot.
Snapshot images are compressed when stored.