She's right to come to this realization. Your pathetic protrusion is embarassing, I know...since I'm similarly misfortuned (see pic below). Any of the regulars on the site can easily provide you with the training she needs to move you into your new phase in her life. She'll still want that special aspect of servitude that only a life partner can provide. She won't be able to rely on her lovers for reliable service in such areas as maintaining her vehicle or preparing the taxes or pulling weeds. Sure, she could hire someone for those things but why incur an expense when you have a perfectly reliable cuck at the ready? My wife hasn't come to this realization....yet. We've only started playing and she's still warming up to the idea that I'm not as much as man as she needs. It's the same type of internal denial when a woman says that it's not the size that matters as well as the training that it's her role to protect her man's mental attitude (that is, don't let him know you're dissapointed in him physically). They are socially trained to think that way early on and it's a hard training to break from. But your wife has and I think that's great.
So, in terms of your training, I'd recommend that she move to the next level of offense focused on verbal reconditioning. Constant reminder of your necessary femininity and lack of masculinity. Another level is to add a regime to reinpower your lack of masculinity. You have too much hair in the photo and you probably have too many male clothes. If she feels compelled to slowly expose you publicly for her own purposes, then fine..keep it private for now but remove all male undergarments and make certain that every aspect of the inner girl is properly prepared for her. Another technique that I haven't yet read on this site involves an aspect of the household that is often associated with the difference between genders...the remote control. It should be hers to control now. You should be required to relinquish it whenever she desires and punished when you complain that she watches what she wants. In fact, you should be punished when you don't want to watch what she watches because whatever she wants to watch is, by definition, something a woman wants to watch! And, if you're both to be properly reconditioned, you'll need to accept that the house is run in a female tone. Part of your presentation is to submit to her entertainment whims...they are no longer your whims to satisfy. That's right shrimp dick...feeling it yet? I'm sure you are.
As for the CBT, there's no doubt that she should practice that. It will be a transition for her because of the other social training...though shouldn't actually want to hurt someone. So, really it's not training for you...it's re-training for her. But, demoting your status in her life will be accelerated when she begins to enjoy hurting you. My wife does it to me because I ask her to but she still cringes when she sees me in pain. It just takes time and you will need to show her that you like it and, as odd as this sounds for you Tiny, you'll have to take it like a man. That is, take it like a man would. You can imagine that can't you? When she's not around and you can work the remote control by yourself, watch some masculine movies, maybe that'll help you see how a man does it. Then, just pretend you're a man and do what they do and take the pain, you pansy.
Hope that helps lil guy. Oh ya, the most important message. If you want that middle ground...where you both want this but you believe you can go back to the way it was if you change your mind...it's not yet a lifestyle. It's a choice. It becomes a lifestyle when you both realize that you're not a choice....your a sissy cuckold. She can choose to have sex with a man with a penis AND a sissy (if she actually wants to). You have no choice, your dick will always be small, and inside, you'll always be a sissy.