Is Mormon God and atheist?

I think it's safe to say that in Mormon theology, God is bound by laws that he didn't create. I see 2 possibilities:

1) The laws just are because they are.

If this is the case, then isn't god's understanding of the laws of nature the same understanding that atheists have about the laws of nature? We have these rules, we know they exist, but we don't know where they come from. There are no other gods above him, but there is "something bigger" but unknown. In this case, god would be atheist.

2) These laws were created by a higher god.

If this is the case, is god expected to have faith in his god? how many generations of gods are there before you reach an atheist god?