No, we are not assuming only one allele has an effect.
What happened is, the "effect" is a relative term. For example, an OR of 2 for allele A suggest that it has 2 time the effect compared to allele B.
So when you are calculating the PRS, you are saying that:
Because this sample has two copy of allele A, it should have a effect of 2 compared to another sample who has two copy of allele B.
For the sample size, that really depends on your trait, on the power of the summary statistics etc.
( Just like normal regression analysis, there isn't a hard magic number of power, you will have to estimate that based on your data)
Basically, in PRSice, we use the target phenotype for "tuning" the parameter - p-value threshold.
As long as you have sufficient sample with the target phenotype for the regression analysis, then it is fine.
Or if you don't have sufficient samples with the target phenotype, you can try to perform the pseudo validation proposed in this
paper