Yes guys I OVER simplified the description of the Kernel because I'm on a phone hacking site not a Linux forum! Most people here don't know a Linux Kernel from a corn kernal.
Froyo is 2.6.32, gingerbread looks to be 2.6.35. These are not substantial changes here. I very very highly doubt that any of the new features in gingerbread even necessitate the 2.6.35 kernel over the 2.6.32 kernel. We already know that the 2.6.32 kernel supports all of our hardware. So I really don't think it's enough to worry about.
Bottomline is the Froyo Kernel allows full support for the DX and D2 with CM7 (GB).
No reason to believe it won't fully support D2G as well.
CM7 Works with Froyo Kernel. Until a 2.7.xx comes out I wouldn't expect there to be any major issues, missing features, or incompatabilities due to the fact your using an old Kernel.
Yes it is the heart of the Linux system. But Linux is written specifically to have a very small heart and footprint which is why it is as fast as it is compared to a Windows install on the same hardware!
But the features of the phone don't expand or contract depending on the Kernel. Thats all done with the software that runs through that Kernel!
The Kernel merely dictates how that code operates and that only changes on major updates (first two numbers) not the corresponding bug kills and optimization seen in the minor updates (last two numbers)