What options are available to a Portable Hole owner?

I am a new DM, trying to understand the magic of the Portable Hole. I’ve read through as many previous posts on Portable Hole shenanigans as I could, but none seem to answer my questions. One of my players has managed to find a Portable Hole, thanks to the random loot tables. He’s familiar with them due to having played earlier versions of D&D. I, having never played these versions, am not as familiar. We find ourselves at odds on just how this item works. In order to keep this post short, I won’t post my interpretation of the rules, though suffice to say I disagree with the following.

  1. The Portable Hole can be opened by two people, holding it open like a sheet.

  2. If even the smallest portion of the cloth is opened, the portal is opened and the character can reach into the extra dimensional space.

  3. The Portable Hole can be thrown upwards, and unfold on its way back down, therefore opening the portal.

Do the rules shed any light on these complicated questions?