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Can the icon be changed based on the state of the setting.  Like the ADB indicator.  If the option is on it can be green, off can be red (or maybe just a different image with a slash or X through it for the 'off' state).

Nope, as I can't know if you disabled proximity sensor or guardian via the meta quest developer hub or via the Quest settings or via side quest or any ADB commands. So the result could be a wrong value. Turned ON in QGO (QGO remember it is green), but you then disable the setting via the meta quest developer hub, but QGO will still display the green value ;-)

I did that in the past but too many people reported me the value was wrong and the reason was the changed the state from another way and QGO  wasn't informed of this new state ;-)