You need to report this phony soldier to the US and to the FBI at their Internet Crime Complaint center at IC3.gov. Then you need to block him from all possible contact so that he cannot manipulate you further.
What you should NOT do is pay him, not on Thursday. NOT ever.
What he is doing is called "sextortion." This is blackmail and it is a felony offense.
Despite all of the threats he has made, however, a scammer gets nothing out of exposing you you your friends or, for that matter to anyone else. He gets nothing whatsoever out of that. His only power lies in scaring you, and if you call his bluff, he gains nothing at all.
His real interest is really not to ruin your life. What he most wants to do is to scare you into paying him the money he asks for. But if you do that and give into a blackmailer, he will only keep asking you for more and more and more and more money, and you will be giving a thief the power to control the entire rest of your life.
On the other hand, if you choose not to pay him and call his bluff, he gets nothing from you at all, and even if he does send your contacts your photos, he still has no further power over you.
Walk away from this as I mentioned above. We hear from victims of this scam many, many times every day, and the scammer doesn't post the the photos. Why? Because this is all about getting your money and they lose their power to collect any if they post it. Exposing you doesn't help them at all.
I know it's tough to relax in the face of this, but you will never find anyone who will tell you it's a good idea to pay the money, or that you will get anywhere at all trying to negotiate with a sociopath hell bent on terrorizing you.
Walk away, block him and report the crime. Cease all communication and don't read any of his messages. He will likely do nothing at all, but nothing he will do if you call his bluff will be as bad as what he will put you through if you don't.
I understand that finding who and where this man really is may be impossible. You still have to report it because that is the only way he can ever be stopped.
I also understand that what you want is for someone to arrest this man before he has a chance to do a thing to you. Unfortunately, that's not anything that can be done.
Regardless, blackmail is ALWAYS about two things: money and power. Money is what he wants. Power is what he thinks he has because he's terrifying you with his threats.
Threatening him in return with the police or anyone else won't do you any good. What will is to simply walk away. Cease all contact and block him. That ends his power. What can he do if you're not scared? Well, he can carry out his threat, but why would he do that??
As many times as we see this scam, we don't see the blackmailer follow through. Why? Because he'd be wasting his time, which would be better off spent intimidating some other victim who will send him cash.
Call his bluff and the worst he can do is embarrass you. Pay him and you'll never be free of the fear you're feeling now, and you'll be supporting him for the rest of your life.
Just checking in to see if you need more help or any clarification of my answer. If so, please reply here on this question thread.