Unfortunately, the ring had a curse placed on it that caused the wearer to turn to gold.
Guybrush: Umm... did you really mean what you said out there? ... That I was the only man you ever loved?
Elaine: Uh... well... Yes, Guybrush, I guess I did.
Guybrush: Elaine, I'm a man of action. A swashbuckler. A rouge. A wanderer! A man who can hold his breath for ten minutes. I have no ties and no regrets. I sail with the wind and go where adventure takes me. But somehow, something always leads me...
Elaine: (interrupts off-camera) Guybrush, stop babbling.
He becomes embarrassed, and then...
Guybrush: Elaine, will you marry me?
He takes out the ring with a sparkle as he speaks.
Elaine: Oh, Guybrush!
He places the ring onto her finger.
Guybrush: Oh, *(he suddenly stops and looks around to find Wally near them)* --WALLY?!! You're alive! Uh, but, how did you survive the explosion?!!
Wally: Oh, I was thrown clear. I'm just lucky I wasn't wearing my seat belt.
Wally then looks at her.
Wally: Wow, Elaine! That's some ring!
Elaine: Thank you, Wally. It's an engagement ring from Guybrush.
Wally: (excited) Hey! That looks just like the big diamond ring LeChuck had in his treasure hold. You know, the one with that ghastly, disfiguring voodoo curse on it.
Guybrush and Elaine become shocked upon hearing this before Wally continues.
Wally: Well, I'm sure Guybrush wouldn't have given you THAT ring. Anyway, I gotta be going. I hear there's a tattoo removal place on this island that's freckle-safe.
As he speaks, Guybrush's flotation device becomes deflated while Elaine gets angry at him before Wally leaves.
Wally: See ya at the wedding!
Elaine: (furious) Guybrush?!!!
Guybrush: (clueless) Uhhh...
She goes for the wind-up, about to punch him, when a sickly green aura envelops her, turning her into a golden statue.