You are right, all of this credit recycling doesn't make a whole lot of sense. This also holds true for scuttling of structures and buildings. Most likely it is simply a balance/convenience thing so you don't have to trade in all your new-found precious resources for credits. Although I would very much like this to work your way. 

Imagine a SttC-user needing to sell several thousand metal/crystal on the black-market to get some credits: Cheap prices for everyone else - BUY BUY BUY! 

Regarding your terraforming idea: Most intriguing... ^^ But I think this would require a bit more of variety in terms of planets, like different classes of terran, desert, etc-planets, to even the odds for everyone. But hell yeah, I like it.

Asteroids turn into asteroid belts when you strip them IIRC

They do in vanilla but I'm talking about a personal mod...you can change what each planet becomes after it is stripped (as well as what effect plays and how many resources you get)...you could even make an asteroid become a terran world if you wanted to (ie "terraforming") via a mod...hell, you might even be able to put negative values in for the "resources gained" and see if you lose money (or pay) when the planet is "upgraded"...

Which is why I advocate asteroids, dead asteroids, and pirate bases simply staying the same after being stripped...no effect, no resources, it's basically the same as disbanding...only difference is the text will still say Stripped to the Core...

Imagine...

FrigatePhaseSiege->AbilityStripPlanet (Unlocked via existing research)

* AbilityStripPlanet is a synchronized targetted buff that requires the siege frigate to remain at the planet until stripping is completed. If the siege frigate is destroyed or ordered to move away the stripping process is stopped. A cool effect would also be needed to project from the siege frigate while the stripping is taking place.

AbilityStripPlanet->ApplyTargettedBuffToSelf(targetFilter(owner="Player",object="Planet"))->BuffStripPlanetSelf

BuffStripPlanetSelf->PlayPersistantAttachedEffect->effectInfo(...) * stripping pre-effect

BuffStripPlanetSelf->ApplyBuffToTargetNoFilterNoRange->BuffStripPlanetTarget

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Asteroid"))->BuffStripPlanetAsteroid

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Terran"))->BuffStripPlanetTerran

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Desert"))->BuffStripPlanetDesert

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="DeadAsteroid"))->BuffStripPlanetDeadAsteroid

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Ice))->BuffStripPlanetIce

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Volcanic"))->BuffStripPlanetVolcanic

BuffStripPlanetTarget->ApplyBuffToSelfWithFilter(OnCondition(IfPlanetIsType(planetType="Moon"))->BuffStripPlanetMoon

...

BuffStripPlanetAsteroid->instantAction(StripPlanet(

    stripTime 120.00000
    ruinPlanetType "PlanetDeadAsteroid"
    creditsOnStrippedToTheCore 2000.000000
    metalOnStrippedToTheCore 750.000000
    crystalOnStrippedToTheCore 250.000000
    effectInfo       
        effectAttachInfo "Center"
        smallEffectName "StripToTheCore_Planet_Asteroid"
        mediumEffectName "StripToTheCore_Planet_Asteroid"
        largeEffectName "StripToTheCore_Planet_Asteroid"
        soundID "EFFECT_STRIPPEDTOTHECORE"

))

Would be fairly easy to convert this to Terra forming...

probably true... just throwing this out to show there's a different way to implement this.

Cool thing about this approach now that they have the base implemented is that nothing is really all that new here. 

OnCondition already exists and instead of "scuttle" causing STTC you get a buff instant action that triggers STTC.

Strictly as an economic explanation not a defense of the game approach:  the Vasari mobile fleet is a mobile society.  The influx of raw materials to be use in processing and construction would fuel trade assuming the Vasari have individual for-profit commercial groups in their economy.

Basically, getting all the materials, offloading, inventorying, distributing and processing-refining all equal jobs and mercantile exchange.

I'd personally like it better if the credits were managed and obtained by the player based on what they did with the resources--selling on the market specifically. A militaristic empire living in space on warships probably isn't a purely capitalistic society.

which sorta suks

Redefined a StringInfo. We're calling it production in dawn of the reapers. 

If you're running a total conversion, technically you could set it up so SttC strips to a better planet, and maybe even costs negative resources (represents cost of terraforming, though this might not work well due to fleet supply being involved), which would achieve a similar effect. Of course it means you would lose the current form of SttC, though this inevitable.