You would only need to use a few buckets on an American toilet. European ones use a lot less water.
The bucket size is a small one, about 1L
yep. However no suction is necessary like in western toilets and everything works perfectly just with gravity. Thus, the squat ones do save lot of water, 1 ltr is sufficient for flush. Of course, the plumbing particularly the inclination & depth of column below, has to be done right.