I can't speak for the rest of your post, but

We can answer the question without knowing anything more about b, than that it is not 1/2. For any 0<=b1<1/2, since we have no other information, b=b1 and b=1-b1 must be treated as equally likely. Regardless of what the distribution of b1 is, this makes the probability the coin landed on heads 1/2.

is pretty clearly wrong. (In fact, it looks a lot like you're establishing a prior distribution, and that's uniquely a Bayesian feature.) The probability of an event (the result of the flip is surely an event, though I can't tell if you're claiming to the contrary or not) to a frequentist is the limit of the proportion of times the event occurred in independent trials as the number of trials tends to infinity. The probability the coin landed on heads is the one thing in the problem statement that can't be 1/2, because we know that the coin is biased. Your calculation above seems mostly ad hoc, as is your introduction of additional random variables elsewhere.

However, I'm not a statistician.