(I don't have a direct reference so this is a little fishy and I'll delete it if nobody recognises what I'm talking about, but I though for starters I'll ask anyway)
I've heard at university that if you have a operator (linear Hilbert space operator?) which is bounded on a restricted (compact?) domain, then it's bounded on the whole space. Put differently, to prove that an operator is bounded, you don't actually need to show it in the whole space.
However, if you restrict the domain of the position operator it becomes unbouned right? That's a contradiction.
In a finite dimensional example I see that you just have to check eigenvalues and hence consider the action on the base. The domain of the position operator is the function space with deltas as its base right? does restricting the domain here mean cut of $\delta(x-a)$ after $a\in \mathbb{R}$ has reached a certain value? I.e. considering only functions of compact support?