The episode starts with Councilman Tarrlok convincing the Council to set up a chi-blocker/equalist hunting task-force, which Tenzin opposes, saying that it would just rile up more support for Amon. Amon hijacks the radio-waves for a bit to spew some propaganda. You can tell Korra is starting to fear Amon (to the point of nightmares) but is trying to hide it. Tarrlok invites Korra onto his chi-blocker/equalist hunting task-force, to which Korra respectfully declines, surprisinf both Tarrlok and Tenzin. Tarrlok accepts her answer, but says he will hopefully be able to convince her to change her mind. When crossing the street Mako is hit by Asami Sato on her motorcycle, Mako is immediately infatuated with her. Asami asks Mako if she could treat him to dinner at a fancy restaurant as form of an apology for running him over, which Mako accepts. Bolin visits Korra with flowers and gifts as thanks for saving him from Amon and partially an attempt to subtly woo her and to cheer her up. Korra is oblivious/non-reactionary to Bolin's charm. Bolin notices Tarrlok has been sending Korra extravagant gifts (including a Satomobile) in attempts to get her to change her mind on the task-force. At Mako's and Asami's dinner date, Mako is spiffed up by the restaurant management, but Mako makes sure his scarf is kept on. Asami and Mako talk about pro-bending and Mako tells Asami how the Fire Ferrets will likely not be able to compete due to being unable to up the 30,000 Yuan ante. Asami invites Mako to meet her father, the wealthy industrialist, Hiroshi Sato.
Hiroshi Sato offers to sponsor the Fire Ferrets so they can compete in the tournament ,if they will wear the Future Indiustries emblem on their uniforms. Mako happily accepts. Tenzin talks to Korra about fear and how in order to overcome them, one first has to admit their fears. Tarrlok throws a fancy high-class party in honor of the Avatar and invites Korra, Tenzin and his family to it. Korra meets Hiroshi Sato who introduces Asami to Korra. Asami comes in holding onto Mako's arm, with Bolin right behind them. Asami very nicely tells Korra how Mako has told her all about Korra. Korra responds, in a slightly jealous and cool tone, "Really? Because he hasn't mentioned you at all. How did you two meet?" Mako and Bolin explain how they can now compete in the tournament thanks to Hiroshi Sato sponsoring the Fire Ferrets. Korra responds cooly with "Yeah, terrific." Chief Bei Fong haggles Korra on how she has not done anything yet to deserve honoring. Tarrlok takes Korra to a crowd of reporters (who Tarrlok as planted with "his own") who pepper her with questions that call her courage and dedication to her duty to the city into question. This riles up Korra to the point where she angrily says she is not afraid of anything and agrees to join Tarrlok's task force. Tenzin looks on with concern. Korra, Tarrlok and the rest of the task-force make a raid on a underground chi-blocking school and make many arrests. Mako and Asami go on another date, where Mako explains the important of his scarf, it was his father's and is the only thing left of him Mako has. Asami says that she lost her mother at a young age, there is some cuddling. At another press conference reporters haggle Korra on why Amon is still at large. Korra rashly publicly challenges Amon to a one-on-one duel on Avatar Aang Memorial Island. On the night of the duel Tenzin angrily berates Tarrlok for letting Korra do this, Tarrlok says he tried to talk her out of it and that there will be back-up waiting for Korra if anything goes wrong. Tenzin makes a futile attempt to talk Korra out of the duel. Korra waits for Amon on the island for a long time, but he does not show up. Korra begins to walk back to her boat to leave when she is roped, captured, and chi-blocked by Equalists. Amon walks up to her and says how he could kill and/or take away her bending now, but won't because that would just turn her into a martyr. He says that he has plans and eventually he will destroy her. He then knocks her out. Korra gets flashes of an older Sokka, Toph, and Aang and the eyes of some random dude. Korra wakes to Tenzin, Tenzin asks if her bending was taken away, she confirms to him that it wasn't. Korra breaks into tears on how she was so scared and did not know what to do. Tenzin consoles her on how it is alright to be scared and it is necessary to admit to oneself their fears.
Love triangle status at episode's end: Bolin->Korra->Mako<->Asami