WI: Germany threatens a 'Samson Option' in 1943?

Let's say that in 1943 the German leadership somehow realises they are doomed and decide to offer a ceasefire/peace terms. (Perhaps after a successful anti-Hitler coup following losses on the Eastern front and the death of Mussolini)

However, unlike previous peace offers they threaten a 'Samson option' in case these terms are not agreed upon.

While also offering a 'carrot', such as compensation for the destroyed infrastructure, victims of the occupations and their families, the arrest & persecution of the worst war criminals, return of some of the occupied territories and retreat of its forces, ellimination of the puppet regimes, promise to dedicate themselves to maintaining peace and prosperity in Europe through non-violent means, etc. They put in no uncertain terms that failing to abide will result in them destroying Europe as we know it.

Including the complete annihilation of its cultural heritage, its cities and its people.

These threats would include: flooding of the lowlands, destruction of cities like Paris, Venice, Brussels, Warsaw, etc. (Including the obliteration of their countries respective cultural heritages, including libraries, museum collections, other works of art, etc).
Use of poison/nerve gas against occupied people's. Liquidation of minorities and all currently held POWs. Destruction of farmland and forests. Using biological and chemical weapons against enemy cities and as a way to contaminate large swaths of territory, etc.

Basically the Anglo-American Nazi War on steroids.

They also state that if the terms are not agreed upon within one week they will assume they have been rejected and will start to act on their threats.

So what happens? Do the allies reluctantly accept? Do they split? Does Europe plunge into Vlad Tepes territory? Do we get a ceasefire without a conclusive peace (See modern North and South Korea)? Civil war in the Reich?

Personally I cannot imagine the allies being willing to sacrifice dozens of millions of people and thousands of years of European cultural heritage just so they can have their 'unconditional surrender', I think in the end they will reluctantly accept but that negotions will break down regarding the exact terms and reparations, leading to a sort of cold war in Europe.
 
I don't think anybody would accept. For one Germany as a state had zero credibility so any promises the'd make wouldn't be believed. For two whole stab in the back myth, which this is basically a set up for another round 20 or so years down the road. For three Allies had just about had it with Germans and letting them off hook wouldn't go down easily with anbody. For four the threat of basically continent wide genocide and wholesale destruction would show Germany really nasty state that shouldn't be allowed to continue to go on. For five this new non-Nazi regime just showed they are willing to be even worse than Nazis and can't be trusted either.

Likely Allies say "If you do what you are threatening to do will retalliate. Will gas your cities, genocide the shit out of you when we get to Germany and turn Germany into desert and call it peace"

And this scenario assumes war is going worse for Germany (e.g. Shattered Citadel scenario) so Allies are already winning and can see victory in the end sooner rather than later so they'll win anyway.
 
Even 1943 Hitler wasn't that insane as yet, maybe 1945 Hitler, but even he didn't authorize the use of gas for his Opertation Nero type operations while the regime was falling apart.

Anyone who announces that will be dead within 24 hours by German hands. Actually I give it at most 12 hours.
 
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