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In the religion of ancient Egypt, the king (or "Pharaoh", as each of the rulers was styled) represented an incarnation of the divine principle, and was considered to be a god in his own right. Hence, a challenge to his divinity implied a challenge to the prevalent religious system as a whole.
Now we come to the crisis. Pharaoh threatens Moses with prison for treason. Moses remains calm and still argues: "What if I show you a miracle? Will it convince you that I am not mad, and that I have behind me the Lord of all the Worlds?"