You've been making Kernels for a while, and they're awesome! I wanted to post this up there to see if it's even possible to include this into your kernels, or if it's too specific to the HTC incredible.
This guy enabled AP mode for his stock HTC Incredible Kernel. I wonder if you could port the code over into your kernel?
SUCCESS! Wireless tether in AP Mode (NOT ad-hoc) + WPA2 Encryption - xda-developers