Wow, I had no idea the idea would go this far. Keep up the discussion - I just started the idea, you guys can probably come up with something way better than I could.
As some have said, we do not know what "Gods" are in this fantasy setting. Are they based on beleif or are they actually there from the beginning of time?
As I see it, there are five options:
1. Gods were always there, you can't make up new ones, and they're extremely powerful whether or not you beleive in them.
2. Gods are just things to beleive in, they don't actually exist in the game world.
3. As 1, but standardize a pantheon of gods for all races for all worlds.
4. Gods are fantasy-like and can grant powers depending on how many people beleive in them. They are creatures of beleif - empowered and given birth to by the fact that the masses beleive in them.
5. Gods existed before the world began - the major gods created the world and the races. However, as per 4, smaller, "minor" gods could spring up as a result of worship and give _much_ smaller effects than the main gods. You'd have two classes of gods - major and minor, and everybody can worship more than one (to different degrees, too)
Personally, I favor 5 (which is probably why I gave it more detail)
2 is not going to work as it conflicts with certain power goals about deities. I don't think Toady will like the idea of 3 given that each world can be wildly different, I'd think he'd want to keep it that way. 4, as others have pointed out, is a little stereotyped and overused, and would lead to divine magic possibly becoming overpowered. 1 would work, but that would remove religion from a lot of the game - you'd just know how people worship things, and have the occasional holy war, but it will only be _very_ rarely that they ever actually intervene. 5 seems to work, but I'm sure there's a flaw there too that I didn't consider.