Smaug

Smaug the Golden was the last of the great fire-drakes, and said to be the greatest dragon of his time - "a most specially greedy, strong and wicked worm".

At some time during the twenty-eighth century of the Third Age, Smaug came to hear of the immense wealth amassed by the Dwarves of the Lonely Mountain during the reign of King Thror, the Dwarves of Erebor, and was drawn towards this wealth .

In the Third Age, 2770, Smaug descended in fire on the Lonely Mountain without warning, destroying the Dwarf-kingdom of Erebor and the nearby township of Dale, Esgaroth-of-Old.

Smaug claimed the treasure of the Dwarves for himself and forced Thrór, King under the Mountain, and his people into exile.

After driving the Dwarves out of their stronghold, Smaug occupied the interior of the mountain for the next 150 years, guarding the vast hoard of Dwarven treasure.

'It is common knowledge the cunning worm seized this very mountain, Erebor, from the Dwarves and made it his lair for many long years.

What fewer know is from whence Smaug the Golden came. The answer, of course, is the North, where the great Dragons dwelled.

Why he came south, I cannot say, but it is written that his hatred of the Dwarves runs old and deep, ever since discovering five young worms slain, and wrongly blaming Durin's Folk.'

- Runi, a lore-master in Erebor (Quest: Concerning Dragons)

Smaug was slain by Bard in T.A. 2941 as he attacked Esgaroth-of-Old where his bones still lie.