Hmmmmmmmm.
It's a tough one. Sexual perversions really get tricky.. But it really depends on what people are comfortable... Some men like to watch their wives have sex with a group of black guys or a dog, I've seen personals adverts for both of those haha.
It sounds like the guy is at least bisexual, which I don't think by any means means the end of a relationship. Has he been "around"? Do you feel that "gays" are disease carriers? Are you upset that he lusts after something you can't give him?
YOU need to think about how YOU feel about it - the irrelevent opinions of some strangers on the internet doesn't really matter.
He was quite brave in admitting that to you, by the way.