Very nice idea. Unfortunately, the execution is something of a pain... you have to choose the target creature or player before you see the scried card. I might make it "each opponent" just to smooth the playing.

Also, a card with ": Deal 1 damage to any target" - which this effectively is - should no way be uncommon or a one-drop. Compare with Spikeshot Elder, Kumano, Master Yamabushi and Flowstone Overseer, all of which are rare and plenty good enough while having a far less efficient burn ability.

Perhaps just : scry 1, and the additional passive ability "Whenever a card is put on the bottom of your library, ~ deals one damage to itself and to target creature or player."

Would that be more appropriate?

Hmm. Could do.

I think you have to ask the question, what are you trying to achieve with this card? It's like you're wanting to make a Scry effect with a benefit for choosing one scry option rather than the other. That may be a reasonable aim, but when the reward is as good as a point of damage, it overwhelmingly draws the focus to the reward. At the moment it feels like Niv-Mizzet, the Firemind, except as a one-drop, which is obviously crazy. Make this a rare 4/4 flying Elemental and the ability would be fine (except that it's burn in mono-blue, of course)...

Right now, this card reads to me ": Deal 5 damage divided any way you choose among any number of target creatures or players. Also do some stuff with your deck, and this happens to be a creature or something.