There's certainly a trade-off, and there is another benefit to one analog gain and digitization, too; compressed RAW files are much smaller when most of the most significant bits are unused. That would make higher-ISO RAW files smaller; not larger.
I'm not sure which way round you mean this. If read-chain gain is increased at high ISO settings the lower bits get filled with (useless) noise, which impedes compression. If the upper bits are just zeros (no variable gain) they will compress well.
In the end, the ISO control is probably redundant. The camera processor has all the information that it needs to optimally pack the sensor information into the available ADC width, varying the read chain gain if needs be. The JFIF engine has all the information that it needs from the raw file to make a rendering. At most, ISO should be a cue to help signal the photographers intent, though I think that a rendering intent control would be better. Auto ISO is a kind of poor effort at that.
Discussions of digital camera ISO always seem to follow the same story arc on DPR. A naïf asks a question that incorporates a false assumption.
I'm not sure that naïf is entirely appropriate here. When we talk about 'analog gain' and 'ISO invariant sensors' we're already well into the abstruse from the get-go. These are fringe topics in the photography community, so if you want to just stick to the mainstream, don't choose to participate in threads of this kind.
There is an initial clarifying response or two, but then gradually the discussion becomes more and more abstruse. After a while the whole topic becomes clear as milk.
That's about it. That's the nature of the topic.
For example, the damnable control is redundant, something entirely different is needed, and it’s not clear what that is. It isn’t clear that there is any helpful guidance for the innocent in the meantime.
One of the nice things about forums is discussion. Someone puts a half-formed idea out there, other people contribute and in the end, people learn and sometimes even innovate. I think that's great. For some people it's outside their comfort zone, but participation is not compulsory.