Question 1, do you know that baby? If not, the moment you profit from it, it becomes all the more complicated.
Do you even get any money with option 3 or does this just give them the right to use it as much as they please? Which could be once and never again. It says you share 50/50 in profits but I doubt that includes profits from any airing of it on their channel(s). MTV is owned by Viacom so would these rights be engulfed in that conglomerate? If so, your market of who else could use the video and have to pay for it are very slim. In other words, giving rights to one of the biggest networks ever created limits its marketability.
Each ridiculousness episode has tons of videos per episode and they have tons of episodes. You won't be unique. Consider that too.