Forum:Allegory of the madwolf

I'm surprised there's no thread on this already. What's the meaning of the Klaus's story about the madwolf? By his shrewd tip about the extraordinarily rare book of stories that's supposedly in Gil's possession -- a lure that any good storyteller would bite at without hesitation -- we can surmise his intention is to get this story to Gil. Is it a coded message to explain his current predicament and convince his son to kill him? Is it important that the story has the boy trick the witch into killing the wolf and herself? Does the copper sword-pin point to Von Pinn or to Mamma Gkika (since she has a gold or copper sword-shaped hairpin)?