A sorcerer named Grendor has frozen all the fairies in the Fairy Realms in blocks of ice, and plans to take all their wings for a spell to cure his headache (ironically induced by tinkering with Bianca's spellbook without her permission). Spyro and Sparx set out to rescue the fairies.
This game contains examples of:
- Anti-Villain: Grendor's motivation for capturing the fairies is just to get rid of the extra head and extreme headaches he gave himself while misreading a spell, and he immediately sways away from villainy as soon as Zoe reverses it.
- Bottomless Pit: All levels that are not surrounded by water or lava are surrounded by an abyss.
- Call-Back: Moneybags' reason for being back in the fairy realms is that haiku poetry wasn't much of a profitable businessnote .
- Checkpoint Starvation: You won't lose lives in a Sparx World when you run out of health, but every enemy and hazard (including the boss) will respawn due to the lack of checkpoints.
- "Could Have Avoided This!" Plot: At the end of the game, Zoe reverses the spell that gave Grendor his extra head and massive migraine, and points out that she could have done this at any time if he'd simply asked.
- Floating Continent: All levels that are not instead surrounded by water or lava.
- Gameplay and Story Integration: With the Fairies being captured and acting as the game's collectables, they're unable to do their usual role of saving Spyro's progress, hence the lack of in-level checkpoints.
- Super Drowning Skills. If Spyro so much as dips his toe into the water, he sinks like a rock; and, unlike in Spyro the Dragon, he cannot jump out.
- Super Title 64 Advance: The Japanese title of this game is Spyro Advance.
- Unexpected Shmup Level:
- Sparx's levels are played like top-down shooters, just like in Spyro: Year of the Dragon.
- Somewhat similar to the original trilogy, there are "speedway" levels in which Spyro flies indefinitely, collecting gems and time bonuses to complete the level before time runs out. However, in this installment, Spyro shoots ahead of him rather than breathe fire and the levels play more like rail shooters, culminating in a boss fight at the end.