Yes, this can absolutely work but the developer in question needs to understand that the amount of development work they can do will inevitably drop and this could lead to frustration and resentment of the ScrumMaster role.

For me, it kind of depends on the type of project. I like the idea of everyone needing to "take their turn in the barrel" so no one person gets stuck with the extra admin duties all the time. Their personal velocity may take a hit for that sprint, but the overall team velocity maintains its average velocity. This way everyone has an appreciation for what a ScrumMaster has to do (and they get better at doing those things) - but it doesn't put them in a position where they feel "stuck".

But for projects where I've got a more traditional PM guiding the team where they can't really contribute to the technical aspects of the work (or it's not really a development project), they're my full-time ScrumMaster. These are typically environments where we're having to perform a little more pomp & circumstance related to making the business feel more at ease with our process thus the SM is doing more than a normal SM would have to deal with.