every single satoshi is still traceable to its generation block
is this true? are you sure?
It depends on how do you define it. For example, with my proposal
https://bitcointalk.org/index.php?topic=117224.0 , it is possible to trace every satoshi. With other definition, you may conclude that a satoshi is associated with a finite number of blocks. No matter how defined, all satoshi must be linked to one or some block generation, or that means bitcoin could be generated without proof-of-work.