The discovery of the wyrmwood dragon coincides with the fifth anniversary of the day magic first blossomed in the Vale. Supposedly, this dragon's tangled tail can only be untangled by the magic of a wizard called Vert. E. LaFée, but he hasn't been seen in years. The wyrmwood seems to have fun with it, though---just look at those awesome aerial acrobatics!
The Wyrmwood Dragon's name is a combination of the words "wyrm," another word for dragon, and "wormwood," a type of plant.
"Vert. E. Lafee," mentioned in the Wyrmwood Dragon's description, is likely a reference to "la fée verte," which is French for "green fairy." This is also known as absinthe, which is an anise-flavored spirit that includes wormwood.
The reward for hatching a Wyrmwood Dragon is 55,000, 1, and 555. The repetition of the number 5 is likely a reference to the how Wyrmwood Dragon is the anniversary dragon for DragonVale's 5th year since its worldwide release.