I don't know the dimension for the 8-32 off the top of my head. Get an 8-32 screw and measure it!
As far as strength goes, let's remember that we're just dealing with knives! we're not going to crank down on these like they're lug nuts! Once you get snug - you're done! You don't need to go any past tight! You can tighten it so much you'll collapse your handle material!
Your handle material will fail before the threaded part will. It's a superb assembly.
I only weigh 170, but I turned an 8-32 thread on the end of a 1/2 inch rod and swung back and forth on it while hanging from my garage ceiling.
The finer thread will give you more contact area, as far as stripping goes, but once the number of threads gets up to the diameter of the shaft, that's as strong as it will ever be.
I sometimes intentionally harden my tang, so I have martensite. Then, I draw back the tang so I can tap it - right? With me? If I just left the tang un-hardened, I would have austenite. Tempered martensite is tougher than unhardened austenite. I want my tang to be as tough as I can get it.
It's just how I do it.
Play with it and use what works for you.