The Dragon race stole lots of gold and jewels from the different races. They were feared by everyone.They are greedy too. Smaug is the most fearful some of them all.
Bilbo Baggins is hobbit who is helping the Dwarves get their treasure back from Smaug the dragon. Bilbo steals a cup out of all the gold there and Smaug awakens. Bilbo also discovers Smaugs weak spot. After a couple of minutes talking to Bilbo,Smaug flies to the man village because he thinks they helped the Dwarves and Bilbo.
War breaks out
Smaug burns house and kills people from the man village. A man named Bard is the person who slays Smaug saving the village. He kills Smaug with a "Black Arrow", which has never failed him. While Smaug was flying he fired the arrow into the weak spot of Smaugs underbelly. Now Smaug is dead and the treasure is unguarded.
There is conflict about the treasure. Thorin is now guarding it and wont share it with the elves or men. Bard tries to come to an agreement with Thorin. Bard's reasons were that he slayed the dragon so he should get a share and Smaug burned the village and killed some people so they should get a share to. The Elf king just wanted trasure so he sided with the men and Bard.
All of this greed turned into a war between the Dwarves and the men/ Elves, Until Gandalf, the wizard, shouted and told everyone that the Goblins and Wolves were on their way to the battle. It was looking bad when the goblins got there but then Beorn (shapeshifter) came along with the Eagles and was a big help. At the end of the battle Bilbo finds Thorin dead along with Fili and Kili, Then is taken home by Gandalf.
Blibo returns home with Gandalf. One evening there was a knock on his door and it was Balin (one of the dwarves) . They talked a share laughs and Balin tells them that Bard gave most of the treasure to the Master. The Master got Dragon-sickness and tried take off with the treasure and died from starvation. Bard had rebuilt Lake-town and got a new master.