Looks better.

Hard to evaluate properly without seeing it in a pinball machine, animated.

Strong consideration to keeping gold tones on the downlow. Consider also limiting gold tones to lower jaw/ventral surfaces like in http://www.fanpop.com/clubs/smaug-the-dragon/images/36751285/title/smaug-desolation-smaug-photo

My first thoughts are that Smaug's eyes are too far out of the sockets and too wide open... But when illuminated, they might look great this way. Hard to tell without seeing it in action. But consider getting eyes deeper in sockets and adding evil, squinting eyelids over exposed eyes. Once again, I do not know if illuminated eyes hardware allow any of this, or if even making eyes smaller (deeper in sockets with top and bottom eyelids for squint effect) is even desirable with illuminated eyes. But consider it.

Love the teeth and horns: good compromise of screen realism vs pinball durability!

Good work, Matt!