> on the other hand the clip LED no longer means "clip".
Often they blink a few dB below clipping anyway. In which case the microx hack actually tends to avoid clipping.
If the CLIP really is clipping: still, there is 10% clipping ("edge") and 80%-99% clipping ("gross fuzz"). If the LED is bright enough to hold gain down when it is blinking only 10% of the time, then it tends to stabilize at about 10% clipping. That's obvious to the golden-ear, or even most tin-ears, but doesn't stink too bad and may even be the "sound" the band wants. Clipping percent will rise with input overdrive: depending on LED-LDR sensitivity and the input headroom, they may be able to drive it from 1% clipping (hardly audible) to 50% clipping (fuzz, but not totally-gross).
Depending how the clip-sense works, you may be able to wire the panel LED and the Vactrol LED in series, and have both working at once. LED brightness is a measure of how bad you are whacking-back gain: dim blinks is gentle, bright is major mash-down.