Satan wished to be like God, but God cannot be more than he already is.

To show Satan this truth, God choose to separate light from darkness, and he spoke the universe into existence. He gave this realm to Satan as a gift, an opportunity to practice and learn what it truly means to be God. To this very day God allows Satan to live in this illusion, a shell between heaven and hell, as the perfect gift to teach his son the ways of the true Gods.

Does this show how loving and understanding God truly is?