Todd said an unknown Twitter user paid him $5,000 in Solana to promote the token, which he converted to Bitcoin.
A veteran Bitcoin developer sparked controversy after promoting a clown-themed meme coin in exchange for $5,000, a move that triggered wild price fluctuations and divided the crypto community.
Peter Todd, who contributed to the early development of Bitcoin, endorsed the 'HAHA' Pump Fun token on X on August 17.
His post read: 'Bad day... a good pump. Laughing all the way to the moon. #HAHA.
Todd disclosed that a $5,000 Solana payment was made for a Meme Coin promotion.
Todd later revealed that he received a $5,000 Solana promotional payment, which he immediately converted to Bitcoin. He admitted that he did not know who paid him, describing the source only as 'some random Twitter user'. He also explained that he did not need to disclose this payment as an advertisement but chose to do so voluntarily.
"In many countries, marking paid advertisements with #Ad is a legal requirement. It's the honest thing to do. They did not negotiate a non-disclosure agreement regarding how much was paid. So I have no reason not to disclose this," he added.
After he posted, the token immediately soared 1,500% to $0.00008, but shortly after, it plummeted 95% in a classic rug pull that occurred during the Pump Fun release.
However, within 24 hours, the token experienced a dramatic rebound, soaring nearly 3,900% to $0.0002, pushing its market cap to $225,000.
Speculation links Todd to the mysterious creator of Bitcoin.
Todd is no stranger to the spotlight in cryptocurrency. He is best known for his contributions to Bitcoin Core, including writing code to modify the OP_RETURN data carrier limit. Over the years, he has been one of the most outspoken developers in the field, often taking contrary positions on scaling debates and industry trends.
The controversy surrounding his latest move comes against the backdrop of long-standing speculation about his identity. In Cullen Hoback's HBO documentary (Bitcoin: The Mystery), Todd was even named a potential candidate for the anonymous creator of Bitcoin, Satoshi Nakamoto. He has vehemently denied this claim.
Hoback's case is based on Todd's teenage experiments with digital currency and a controversial forum post from 2010, in which he allegedly forgot to switch accounts between his name and Satoshi Nakamoto's.
The filmmaker also pointed out the similarities in the timing of the release, suggesting that they reflect the academic calendar. However, this theory is widely regarded as speculative by most in the crypto community.
Reactions to Todd's meme coin promotion were mixed. Critics accused him of a lack of integrity, while others praised his candor, calling it a '10/10' move.
Despite the uproar, Todd seems unconcerned. The polarized reactions indicate a troubling balance between credibility and opportunism in the capricious culture of cryptocurrency.
