The Creature with Bloodthirst does not have a -1/-1 counter on it.
Steps
Activate
Cauldron of Souls by tapping it, giving the Creature with Bloodthirst persist until end of turn.
Activate
Krark-Clan Ironworks by sacrificing the Creature with Bloodthirst, adding ({C} magic symbol) ({C} magic symbol) .
When the creature dies, its persist ability and
Dross Scorpion trigger.
Resolve the persist trigger, returning the creature from your graveyard to the battlefield, which enters the battlefield with at least one +1/+1 counter on it due to its bloodthirst ability.