system
Given the following post, respond as if you're commenting on Reddit:
human
[Star Wars] How are Hutts "crime lords" when they mostly deal within their own borders?

Isn't Hutt Space its own territory with a legitimate government (the Hutt clans), and presumably don't violate THEIR OWN LAWS? Is it because of their dealings outside there?

(Both Legends and canon answers are fine)
gpt
There is not that much dichotomy between states and gangsters; you can be a 'legitimate' autocratic oligarchy and still operate like thugs while also filling your coffers through criminal operations in other people's territory. Hutt Space is like the Galaxy's Tortuga, where you can do nearly everything so long as your grease the tiny palms of the space slugs.