The author of Brihat Katha, a famous work in Sanskrit literature. He wrote it in the Paishacika language, and since it was not readable by the masses, a poet named Kshemendra translated it into Sanskrit and named it Brihatmanjari. Another famous poet named Somadeva then translated Gunaddya’s works extensively. This is now known as Kathasaritasagara. Gunaddhya is also believed to be the incarnation of Malyavan, an attendant of Shiva.

Once Parvati troubled Shiva for a secret story. She asked Nandi to guard so that no one would disturb them. Shiva began telling her the story of the vidyadharas. At this time, Pushpadanta, who was a prominent bhutagana and who had the freedom to disturb Shiva at all times, arrived there. Ignoring Nandi’s protests, he went inside and heard the entire story. He in turn, told his wife Jaya, who later repeated it to Parvati. Parvati was furious and complained to Shiva that he had told her a story that even Jaya knew. Shiva realised that Pushpadanta had overheard them and told this to Parvati. She grew angrier, and summoned Pushpadanta. She cursed him, and Malyavan who was defending him, and turned them into humans. When they begged her for mercy, she told them about Vaishravana who cursed a yaksha named Supratika. He began living in the Vindhyas as Kanabhuti, a pisacha. Parvati told them that they would regain their old form when they met Kanabhuti, and that Pushpadanta should tell him the story that Shiva shared. Then Pushpadanta would regain his earlier form. On hearing that, Kanabhuti would tell Malyavan many stories. With that Kanabhuti himself would be released from his curse, and when Malyavan shared the stories with the world, he too would get back his earlier form.

According to this, Malyavan was born as Gunaddhya in Supratishti and Pushpadanta as Vararuchi in Kaushambi. Kanabhuti, originally Supratika – a yaksha, had been turned into a pisacha already. He had been good friends with a rakshasa named Shulashiras, and Kuber, displeased with this, had cursed him. Supratika’s elder brother Deerkhajankha begged for mercy and Kuber said that he would be released when he heard the story from Pushpadanta and also shared more stories with Malyavan.

In the kingdom of Pratishtthana, there was a town named Supratishtita. There, to a brahmin named Somasharma were born two sons – Vatsa, Gulmaka, and a daughter named Shrutartha. Their parents died soon after and Shrutartha grew up in her brothers’s care. Later, Vasuki’s brother Kirtisena married her in the gandharva tradition. Their son was Gunaddhya and as a child, he went south for his education. After he grew up, he started traveling, and became the minister of Satavahana. He also got married there. Once Satavahana was ridiculed by his wife for a language error. From then on, he became very moody. A brahmin named Sharvasharma proclaimed that he could make the king a language pundit in 6 months. Gunaddhya said that it was impossible and they entered a wager. he said that if Sharvasharma could teach the king Shabdashastra in 6 months, he would give up his learning of Sanskrit, Prakrita and Deshabhasha, and if Sharvasharma failed, he would have to carry Gunaddhya’s slippers on his head for twelve years. Sharvasharma prayed to Subramanya and won the wager. Gunaddhya gave up his knowledge and after bidding the king goodbye in sign language, set out for the Vindhyas. At that time, the ruler of the pisachas Kanabhuti was away. Gunaddhya began learning the pisacha language. When Kanabhuti came back, he told Gunaddhya the story of seven vidyadharas. Gunaddhya, in seven years, made it into a epic of seven lakh texts. This was Brihatkatha. His only equipment was leaves, blood and sticks. The devas came down to listen to it and Kanabhuti gained release from his curse.

Gunaddhya wondered how best to popularise the Brihatkatha. His two disciples Gunadeva and Nandideva suggested that he dedicate the text to Satavahana. He agreed and the disciples took it to the king. He didn’t care for it much because he felt it was too long, the language too basic and it was written in blood. The disciples took it back to their guru, who was disheartened. He climbed a hill with his disciples and made a bonfire. After leaving the story of Naravahanadatta for his disciples, who were crying, he read each text and threw it into the fire. Even the wild animals were moved. In the meantime, Satavahana fell ill and the physicians said that it was due to bad meat. The cooks put the blame on the hunters who said that a man was throwing texts into a fire on top of a hill, and all the animals were watching him, giving up their food. So they only had stale meat. Satavahana went with the hunters to see this and when he realised that it was Gunaddhya, he fell at his feet. Gunaddhya recited the texts in pisacha language and the disciples translated it. The king asked for the text, but by then 6 lakh texts were already in the fire. Gunaddhya gave the remaining lakh texts to the king and bid goodbye. He then walked into the fire and went back to shivaloka. The king returned with the text to his palace and rewarded the disciples. Satavahana then added a prologue to elaborate why the text was written in pisacha language. Gradually the text became popular as per Kathasaritasagara Peetthanulambaka.