Yes, you need a kernel with the monitor mode etc patches in. There are
several such kernels in ZUG download area, I think one was for
5500 and several for the 7x0 series.
However, I tried all the three 760 kernels with previous Cacko ROMs
and could not get kismet/wellenreiter to run. The newest Cacko ROM
(with its tweaked kernel) was the first one with which I got the thing
running.
Your mileage may vary, especially with TKC.