It is possible to build an SSL/TLS server which is running on an iOS device? If yes, how?
Absolutely. I have used CocoaHTTPServer with SSL/TLS both on the simulator and on the device for testing purposes. To use client certificates you need to make some modifications, most of these are in a patch in their GitHub issues list.
Can you create certs on the fly on iOS? Not that I know of.
Can you tell SSL to not use certificates? Ummm. Even if you could, what would be the point of using SSL? The certificates are what "secures" the transport. SSL is a model of trust, with the parties on either end of the link evaluating the trust of the other party. If you are creating certs on the fly, or attempting to not use certs period, you are invalidating that trust model - you are not securing much of anything.