The entire ignition apparatus does not scale down well.
1) the spark energy is the same no matter how small the engine is
2) the insulation and clearance needed do not scale at all.
That said... a Kettering system stores the energy in thy coil and a Magneto depends on similar principles such as flux changes linked to many turns of wire.
In contrast, a CDI ignition stores the energy into a Capacitor.
It turns out that electrical insulator are far better than conductors, therefore a Capacitor can store more Energy/Volume than an inductor, provided one chose a sufficiently high voltage.
The pulse transformer of a CDI does not store energy, is essentially a high frequency transformer and can be made very small because transformers volumes goes down with frequency.
It remains the issue of charging the cap at the typical 200/400V. With modern technology it can be miniaturized using semiconductor and high frequency switching.