You make a good (yet strange!) point agentgonzo.
Welcome to the world of pure mathematics!
My thoughts are that you can really only define division by 0 if you define 0 as actually in infinitely small number and not nothing. As you said, y APPROACHES 0.
No, I said the
limit as x --> ∞. Subtly, but very importantly different.
You can define division normally for the non-zero numbers as you state.
You can define x_n = 1/y_n (y_n > 0). Let y_n tend to zero.
As y_n decreases monotonically and is bound by zero, it is convergent (to zero by definition). You can then prove that x increases monotonically with no upper bound. y_n --> 0, x_n --> ∞. (approaches, as you mention. Not talking about absolute =0 here, that is the next step).
Now, since y is convergent, and x is monotonically divergent, you can legally take the limits.
Even though y_n > 0 (strictly greater than 0), the limit is at y = 0. Similarly, x_n is finite, but at the limit, x is infinite.
thus the limit (y_n --> 0) of x_n = 1/y_n is ∞ = 1/0 (by the continuity of our function). This is how 1/0 can be legally defined.