After being attacked by the Demon Brothers, Team 7 confronts Tazuna, the bridge builder. Tazuna confesses he is being hunted by dangerous ninjas because he is building a bridge to free his town from the evil tyrant Gato. This turns their "C-rank" protection mission into a dangerous A-rank mission.
Kakashi Hatake points out that Team 7 is technically not equipped for this level of danger, especially since Sakura points out Naruto's injury.
Naruto shows his ninja way for the first time by choosing to face death rather than run away.
Determined to prove he is not a coward, Naruto removes the poison from his hand using a kunai knife. He takes a dramatic vow: He will never run away or back down from any threat, and he will not lose to Sasuke .
A Dangerous Mission! Journey to the Land of Waves! - Narutopedia
The episode sets up the intense "Land of Waves" arc, introducing Zabuza as the first major villain.