In the 1970s, Smith studied ethnomusicology at Wesleyan University. He played again with Anthony Braxton as well as recording with Derek Bailey's Company. In the mid-1980s, Smith became Rastafarian and began using the name Wadada. In 1993, he began teaching at Cal Arts, a position he currently holds. In addition to trumpet and flugelhorn, Smith plays several world music instruments, including the koto, kalimba, and atenteben (Ghanaian bamboo flute). He has also taught courses in instrument making. His compositions often use a graphic notation system he calls "Ankhrasmation", which he developed in 1970.

In 1998, Smith and guitarist Henry Kaiser released Yo, Miles!, a tribute to Miles Davis's lesser-known 1970s electric period. On this album, Smith, Kaiser and a large cast of musicians recorded cover versions and original compositions inspired by Miles's electric music. The follow-ups Sky Garden (released by Cuneiform in 2004) and Upriver (released in 2005) were recorded with a different cast of musicians. Both line-ups featured Michael Manring on bass.

Smith's Golden Quartet (with whom he has released two albums) features Jack DeJohnette on drums, Anthony Davis on keyboards, and Malachi Favors on bass. During the 2000s, Smith recorded albums for John Zorn's Tzadik, as well as Pi Recordings. In 2008, he and his Golden Quartet released a DVD entitled Freedom Now.

With Muhal Richard Abrams

With Marion Brown

With Anthony Braxton

With Henry Kaiser

With Frank Lowe

With Matthew Shipp

With Spring Heel Jack

With John Zorn