As much as I want to agree with your reasoning, SL, George has something to prove to Britain. Now that Shinji's reputation is torn apart, the crowd seeks a new idol, and Triwizard candidate is in a prime position to make use of that fame. And since George is not ready to cut ties with everything he holds dear in Wizard Britain, like, you know, his family, it is a good choice for him. One does not need to love the people to appeal to them.
And this way will open to us a lot of doors that seem closed forever, as long as we stay in contact.
That said, I find the choice kinda puzzling.
How good is George in dueling currently? Can he stealthily utilize his Fusion/mind reading/other passive abilities to match a renowned duelist in a fight without looking like a Super Sayan? And what about the "troops" option; what advantages does he have here?
"Toying" can lead to defeat or bitterness. "Crushing" definitely exposes the secret. So tentatively...
[X] Don't - swarm the Durmstrang Champion with troops, while clearing a path for them with his magic
But, hey, George is not the protagonist, maybe we can just expose his Powerlevel Over 9000 and ride on fame and hatred it brings, hm? Might just go all the way for public approval in the last challenge. (It is the last, right?)
Also, those foreboding dream sequences are as neat as they are worrying. Time shenanigans are pretty limited in Potterverse by Rowling's arbitrary statement, but how much can be accomplished with a bit of a True Magic in the mix? One can fear/hope, a lot.