This isn't really about what type of draft compensation Elway would or wouldn't offer. I've seen several posts debating Jimmy's worth, but that misses the OP.
It's really about would we help our enemy to help ourselves more? And the clear answer from the crowd is no. Many studies have shown people are willing to cut off their noses to spite their faces, and this is just another example of that mentality.
With BB's economics background, I think he would do the deal if it made sense. It really depends on value. Yes, you could help your enemy, but it's not for free, and it's not a favour. In this scenario, if there were enough draft picks, you're also weakening them over the next few years too by draining their access to top-notch cheap talent. And I don't think he (or I) fear the Broncos, even if they had re-signed Brock. With Dante returning, a healthy Solder and Vollmer, I think we win that game easily, especially if in Foxborough.
I like Jimmy. I love Tom. But both have a price tag on their heads. Gretzky got traded. So did Montana. So to think there's no price tag that would make you trade your backup QB is silly, even if you hate the buyer. It might make you charge more, but there's a price.