diff --git a/test/functional/p2p_v2_misbehaving.py b/test/functional/p2p_v2_misbehaving.py
index ae325fa1823..d0e64f57ac7 100755
--- a/test/functional/p2p_v2_misbehaving.py
+++ b/test/functional/p2p_v2_misbehaving.py
@@ -9,6 +9,7 @@ from enum import Enum
 from test_framework.messages import MAGIC_BYTES
 from test_framework.p2p import P2PInterface
 from test_framework.test_framework import BitcoinTestFramework
+from test_framework.util import random_bitflip
 from test_framework.v2_p2p import (
     EncryptedP2PState,
     MAX_GARBAGE_LEN,
@@ -21,9 +22,11 @@ class TestType(Enum):
     1. EARLY_KEY_RESPONSE - The responder needs to wait until one byte is received which does not match the 16 bytes
     consisting of network magic followed by "version\x00\x00\x00\x00\x00" before sending out its ellswift + garbage bytes
     2. EXCESS_GARBAGE - Disconnection happens when > MAX_GARBAGE_LEN bytes garbage is sent
+    3. WRONG_GARBAGE_TERMINATOR - Disconnection happens when incorrect garbage terminator is sent
     """
     EARLY_KEY_RESPONSE = 0
     EXCESS_GARBAGE = 1
+    WRONG_GARBAGE_TERMINATOR = 2
 
 
 class EarlyKeyResponseState(EncryptedP2PState):
@@ -45,6 +48,19 @@ class ExcessGarbageState(EncryptedP2PState):
         return super().generate_keypair_and_garbage(garbage_len)
 
 
+class WrongGarbageTerminatorState(EncryptedP2PState):
+    """Add option for sending wrong garbage terminator"""
+    def generate_keypair_and_garbage(self):
+        garbage_len = random.randrange(MAX_GARBAGE_LEN//2)
+        return super().generate_keypair_and_garbage(garbage_len)
+
+    def complete_handshake(self, response):
+        length, handshake_bytes = super().complete_handshake(response)
+        # first 16 bytes returned by complete_handshake() is the garbage terminator
+        wrong_garbage_terminator = random_bitflip(handshake_bytes[:16])
+        return length, wrong_garbage_terminator + handshake_bytes[16:]
+
+
 class MisbehavingV2Peer(P2PInterface):
     """Custom implementation of P2PInterface which uses modified v2 P2P protocol functions for testing purposes."""
     def __init__(self, test_type):
@@ -56,6 +72,8 @@ class MisbehavingV2Peer(P2PInterface):
             self.v2_state = EarlyKeyResponseState(initiating=True, net='regtest')
         elif self.test_type == TestType.EXCESS_GARBAGE:
             self.v2_state = ExcessGarbageState(initiating=True, net='regtest')
+        elif self.test_type == TestType.WRONG_GARBAGE_TERMINATOR:
+            self.v2_state = WrongGarbageTerminatorState(initiating=True, net='regtest')
         super().connection_made(transport)
 
     def data_received(self, t):
@@ -97,6 +115,7 @@ class EncryptedP2PMisbehaving(BitcoinTestFramework):
         expected_debug_message = [
             [],  # EARLY_KEY_RESPONSE
             ["V2 transport error: missing garbage terminator, peer=1"],  # EXCESS_GARBAGE
+            ["V2 handshake timeout peer=2"],  # WRONG_GARBAGE_TERMINATOR
         ]
         for test_type in TestType:
             if test_type == TestType.EARLY_KEY_RESPONSE: