Yeah It’s a multiply so you need a black and white texture for the mask to work - it’s a bit limited yeah. Can you share that project with me and I’ll see if I can modify it to work with the alpha mask. Other ideas:
I’m thinking that perhaps it might work to write the mask to the depth buffer instead and use depth testing to reject pixels instead of discarding them. You can’t write stencil buffer values from a pixel shader unfortunately, but you should be able to write values from a texture to the depth buffer and then enable depth testing. You won’t be able to get a smooth fade like with alpha blending, but if that’s not what you need then it might work
Otherwise, if you want to use the stencil buffer you need a custom shape to render it, which means you need to construct a 2D/3D shape in something like blender…