Question: When Bilbo is inside the mountain, after he wakes Smaug he puts the ring on to hide. After a few moments Smaug says something about Bilbo having something gold but more "precious." Bilbo shudders and takes the ring off as if in pain. Does this imply that Smaug knows what The Ring is? Does he know how truly powerful it is, and the history of it?
Question: Why on earth does Bilbo remove the ring in front of Smaug? He has no real reason to believe that Smaug won't simply eat him or roast him. Smaug can hear and smell him but can't see him, so as long as he remains still, he is safe unless Smaug gets lucky. Seems like taking the ring off is a huge risk that was not necessary.oldbaldyone