The name was coined by Barry Simon in this 1982 article by Barry Simon(page 487):
The Ten Martini Problem: The almost Mathieu operator has a Cantor spectrum.
The name comes from the fact that Mark Kac* has offered ten martinis to anyone who solves it. [...] Actually, Kac said "has all its gaps there", so perhaps one should solve instead the Ten Martini Problem, Strong Form:
The Ten Martini Problem: (orStrong Form, or should it be Dry Form)...
[*] Marc Kac, public communication at 1981 AMS Annual Meeting.