"Woodland Sprite" gives you the ability to send Equip Spell Cards equipped to it to the Graveyard. Sending them to the Graveyard for this specific purpose is the only way to activate the effect and inflict 500 points of damage to your opponent.

This card’s effect can only be activated during your Main Phase, but may be activated more than once per turn.

An Equip Spell Card sent to the Graveyard by this card’s effect is not "destroyed". So the effects of "Butterfly Dagger – Elma", "Axe of Despair", "Malevolent Nuzzler", "Blast with Chain", or "Smoke Grenade of the Thief" cannot or will not be activated.

If you send "Black Pendant" to the Graveyard with this card’s effect, the effect of "Black Pendant" will activate, because it does not have to be "destroyed", just sent to the Graveyard.

You can activate "Premature Burial" to Special Summon "Woodland Sprite" from your Graveyard, and then its effect to send "Premature Burial" to the Graveyard and "Woodland Sprite" will remain on the field. This is because "Premature Burial" was not destroyed.

If you opponent activates "Snatch Steal" and equips it to your "Woodland Sprite", they may choose to activate its effect and send "Snatch Steal" to the Graveyard. You will take 500 damage, and then control of "Woodland Sprite" would return to you.

Blast with Chain: If you use "Emergency Provisions", it sends Spell & Trap Cards to the Graveyard, it does not destroy them, so if you send this card to the Graveyard with "Emergency Provisions", this card's effect will not be activated. The same applies to "Woodland Sprite".

Butterfly Dagger - Elma: When Butterfly Dagger - Elma is "sent to the Graveyard" without being "destroyed", such as with Woodland Sprite, it cannot return to your hand.