You can form a nation by getting a guild of at least 150 people or 3 guild alliances. The council decide on a name. They decide on the goverment rules. If they pick where they have one leader they vote. Nations  create whole islands that can be published. They can declare war. When you make your island you get to pick every aspect except you get to pick from disney made quests to get. Each nation lives on a specific server. The council that decides on the name also decides things like goverment type, and immigration policies.