OP seems pretty trollish to me... Keeps spouting the same vague, nonsensical bullshit for 8 pages.
If I have 1 bitcoin (100,000,000 satoshis) and the divisibility is increased by a factor of 10, so I now have 1,000,000,000 of the smallest unit (which is 1/10 a satoshi), then how is my wealth changed? Clear simple sentences, using logical arguments, please.
As I wrote in a comment above (which was torn to pieces immediately), since the value of a traded item (like btc) is determined by an (often irrational) market, it is not the end of the argument to say that increasing divisibility
formally doesn't change the value of the base unit.
Here's an (abbreviated) version of my argument for why increasing divisibility
could potentially drive down price. (Note: I'm saying "could", not "necessarily will").
(1) Markets, including the btc market, act irrational all the time. Example 1: "round number" (10$, 100$, etc) are major points of resistance and support, for no deeper reason than that our little monkey brains seems to like such numbers. Example 2: Most of us don't feel like that, but I've seen several newcomers complain that "price per coin is too high now, to still enter the market". The answer by us is always: price per 1 btc is irrelevant, but on the other hand, many of us are willing to entertain the idea to "switch" to mBTC to make the entrance level appear lower.
(2) The above are just general examples of markets being "irrational". You could say they prove nothing yet about divsibility and btc evaluation. Obviously, I don't have any proof anyway, hence my cautiousness "it *could* conceivably drive price down". But here's one slightly more concrete argument for *why* it might actually affect the market's valuation of the base unit if divisibility increases. We need three assumptions (which you might or might not share, but they're at least conceivably true): (i) price is determined "bottom up", instead of "top down", i.e. each market participant runs some (unconscious, probably) calculation that determines the value of the base unit based on the sum of all sub-units. (ii) there is a "smallest possible value" our brains can conceive. (iii) an item is never valued at 0 (if it has any worth at all). With those three assumptions in place (REMINDER! I didn't say they're necessarily true. Just that they're not completely implausible to me!), the argument is: Let N be the total number of sub-units of a bitcoin. Assume that for some market participant, each subunit already is valued at the smallest possible value X he can conceive/assign to an item. Now increase the number of subunits by any factor > 1. From (iii) we know that each subunit needs to be assigned a value, and by (ii) we know that X is already the smallest item. So each new subunit is valued at X. So the value of the base unit, for this market participant, increased by the factor we increased divisibility with.
BIG FAT HONKING DISCLAIMER, because I'm getting tired of the respectless atmosphere in so many discussions in here:
I'm not saying "increasing divisibility drives down price to 0".
And I do actually think OP was trolling with his original claim, which is much bigger than what I'm saying.
And if you read my argument carefully, it doesn't say anywhere that I am sure that price would drop, just that I could clearly see the possibility that it happens, based on the intuitive understanding (and lack of formal understanding) of the average market participant.
IF, AFTER ALL OF THE ABOVE, you still feel the need to tell me that I'm an idiot for "not knowing that increasing divisibility doesn't change anything about the value of a coin", then... well, go fuck yourself :/
