Why is 1 satoshi the smallest division of a Bitcoin, and why is it important that 1 satoshi cannot be divided any further? Could there be a viable system where 1 coin can be divided infinite times?
One Satoshi is 0.00000001 Bitcoins. I think this is just an unofficial name for the smallest unit possible in Bitcoin. As far as the reason why a Bitcoin can only be divided down to 8 decimal places, I think thats just the way the creators set it up. I dont know if it could be changed at this point, but if so, it would have to come from the Bitcoin Foundation to make that determination.