The Weapon of the Universe is a nuclear weapon and is what Toaster is planning to invent. Although, nobody knows or cares what he means by that, and just take and ignore it as a pathetic, terrible attempt at world domination. It is probably, just that, although the more naive individuals with a lack of experience believe otherwise. Nobody really knows what sort of weapon it is, or why it exists.
We theorize that it exists due to how the use of toasters to toast toast was banned worldwide because of the invention of the Tubby Toaster, which toasted Tubby Toast, the most diabolical comestible known to man. This may have set Toaster off, and may have caused him to set up an attempt at revenge. Although that attempt was so pathetic and piteous that nobody cared or expected the worst from it.
The Weapon of the Universe probably isn't even as dangerous as it sounds. The weapon itself probably doesn't even exist, but we're not too sure about that. Though the likelihood is, the whole thing is probably just one big lie.