Everyone seems to be in agreement that Iran's proposition is Bologna. So how should we Handel this?

President Mahmoud Ahmadinejad says that he (his country) is willing to negotiate the nuclear program if the US stops its nuclear program. Everyone seems to agree that this is just another one of Iran's little games. If we disarm we will be vulnerable but if we do not we are at risk of being unfair and causing more political problems. Iran should not have nuclear weapons because it has stated it wants to wipe Israel of the map with nuclear weapons. So with every thing you know, what is the best thing for the US to do next?