This clever loop comes together by using Leyline of Transformation to name "Pirate" as the chosen creature type, ensuring that all your creatures—including Chatterfang, Squirrel General and Magmaw—benefit from Malcolm, Keen-Eyed Navigator's triggered ability. Whenever Magmaw sacrifices a permanent to deal 1 damage to an opponent, Malcolm triggers to generate a Treasure token, which Chatterfang, Squirrel General's replacement effect doubles by also creating a 1/1 green Squirrel creature token. You can then sacrifice that newly created Squirrel to Magmaw to fund the next iteration, while sacrificing the generated Treasure for the mana needed to keep the activation going.