He isn't gay, as stated. He may have mentioned your soze at some time to his wife, in an offhand way, and it sounds like SHE has been the one fantasizing about it, and her bubby's side effects are getting to her. My humble opinion. Steer clear of any sexual involvement with his wife---that will be a betrayal of the long friendship at a deep level, and you will likely lose him as a friend forever. If his marriage is suffering for various reasons, you do NOT want to be caught in the middle of it if it goes on the rocks. If it does, you will likely be forced to choose sides. Stay away from this time bomb!