For instance, my first-generation PSP would have been a no-go.
Encryption is required for Virtual Router connections, so any devices that don’t support WPA2 will not be able to connect. The program has a few downsides, however. The connections are secured via WPA2 encryption, and a list of all connected clients can be viewed right in the program’s main window. Just run the software, pick a network connection to share, and set an access password. This one seems to be the most straightforward and simple. The first is Virtual Router, an open source project hosted by CodePlex.
Figure 1: Virtual Router (click to enlarge)