That might be accurate for some styles. It's not accurate for other styles, and that's the point. I rather prefer the BB/dan rank being held for high proficiency. But if I trained somewhere that it just meant basic competency/completion of basic curriculum, then I'd be okay with that. It's just an indicator of progress within a system, and shouldn't be judged between systems.The school makes the difference I think. I do think it should be a big deal it is a benchmark. When you are a kyu and people say it's not a big deal it still is, then when you have dan rank you can easily say it but you are there. Depending on the system they will hand out the dans like candy. 15 levels of it from where I started out and left.
Kyu rank 1st half is elementary school higher ranked kyu high school dan rank is college and university. Bad analogy but that is how I see it
The only place I'd disagree with how it's used is where there's an open claim that it represents "mastery" or such, but is given at a level that doesn't correllate.