Jake Paul makes Mike Tyson $1 million bet and legendary boxer agrees under one condition

Mike Tyson has agreed to a mammoth bet with final opponent Jake Paul and it could come back to bite him.

At the age of 58, Tyson returned the ring in November to take on Paul in a eight-round heavyweight contest at the AT&T Stadium in Arlington, Texas, with 65 million viewers tuning in on Netflix to see the legendary fighter lose via unanimous decision.

Despite initially vowing to continue fighting, former world heavyweight champion Tyson would later confirm his complete retirement from the sport after banking a reported $20 million.

Paul bowed to Tyson prior to the final bell and the two embraced post-fight, with 'The Problem Child' claiming he chose against knocking him out in the squared circle.

But while there is respect between the pair, the duo still love competition and have agreed to a wager ahead of another huge Netflix boxing card on Friday.

What is Mike Tyson's bet with Jake Paul?

Katie Taylor and Amanda Serrano had their rematch for the undisputed super lightweight titles as the co-main event for Paul vs Tyson but their trilogy showdown will headline a historic all-women's card at Madison Square Garden on 11 July.

Paul's Most Valuable Promotions are promoting the event and just days before, the 28-year-old hit Tyson up on FaceTime with a proposal.

Tyson immediately gave his prediction and revealed he is backing Taylor to beat Serrano for the third time.

As expected given she is signed to his company, Paul disagreed and very quickly a hefty bet was made in an extremely chaotic phone call shared on Instagram.

The agreed terms see the loser required to pay the other $1 million, while Paul also agreed to Tyson's request of taking him out to dinner.

Despite being one of the famous boxers in history and starring in big-money fights, Tyson had well-documented financial struggles following significant spending, promoter scams and a spell in prison.

He declared bankruptcy on a number of occasions after racking up huge debts but was able to recover due to book deals, TV and film roles, a YouTube channel and podcast and his successful cannabis business.

His return to the ring for two fights completed his financial resurrection with $30 million in the bank and according to Celebrity Net Worth, Tyson now has a net worth of $20 million.

Therefore, with the bet against Paul, 'Iron' Mike runs the risk of losing five per cent of his net worth if Serrano picks up the victory.

The biggest bout in women's boxing will be shown live on Netflix.