The Midrash elaborates extensively on the Akeidah: it describes the Satan's attempt to dissuade Abraham, Isaac's willing participation, the angels weeping, and God's declaration 'now I know' — interpreted as 'now I have made known to the world' Abraham's fear of God.
וַיְהִי אַחַר הַדְּבָרִים הָאֵלֶּה וְהָאֱלֹהִים נִסָּה אֶת אַבְרָהָם (בראשית כב, א), כְּתִיב (תהלים ס, ו): נָתַתָּה לִּירֵאֶיךָ נֵס לְהִתְנוֹסֵס מִפְּנֵי קשֶׁט סֶלָּה, נִסָּיוֹן אַחַר נִסָּיוֹן, וְגִדּוּלִין אַחַר גִּדּוּלִין, בִּשְׁבִיל לְנַסּוֹתָן בָּעוֹלָם, בִּשְׁבִיל לְגַדְּלָן בָּעוֹלָם, כַּנֵּס הַזֶּה שֶׁל סְפִינָה. וְכָל כָּךְ לָמָּה, מִפְּנֵי קשֶׁט, בִּשְׁבִיל שֶׁתִּתְקַשֵּׁט מִדַּת הַדִּין בָּעוֹלָם, שֶׁאִם יֹאמַר לְךָ אָדָם לְמִי שֶׁהוּא רוֹצֶה לְהַעֲשִׁיר מַעֲשִׁיר, לְמִי שֶׁהוּא רוֹצֶה מַעֲנִי, וּלְמִי שֶׁהוּא רוֹצֶה הוּא עוֹשֶׂה מֶלֶךְ, אַבְרָהָם כְּשֶׁרָצָה עֲשָׂאוֹ מֶלֶךְ, כְּשֶׁרָצָה עֲשָׂאוֹ עָשִׁיר, יָכוֹל אַתְּ לַהֲשִׁיבוֹ וְלוֹמַר לוֹ יָכוֹל אַתְּ לַעֲשׂוֹת כְּמוֹ שֶׁעָשָׂה אַבְרָהָם אָבִינוּ, וְהוּא אוֹמֵר מֶה עָשָׂה, וְאַתְּ אוֹמֵר לוֹ (בראשית כא, ה): וְאַבְרָהָם בֶּן מְאַת שָׁנָה בְּהִוָּלֶד לוֹ, וְאַחַר כָּל הַצַּעַר הַזֶּה נֶאֱמַר לוֹ (בראשית כב, ב): קַח נָא אֶת בִּנְךָ אֶת יְחִידְךָ וְלֹא עִכֵּב, הֲרֵי נָתַתָּה לִּירֵאֶיךָ נֵס לְהִתְנוֹסֵס. ה' צַדִּיק יִבְחָן וְרָשָׁע וְאֹהֵב חָמָס שָׂנְאָה נַפְשׁוֹ (תהלים יא, ה), אָמַר רַבִּי יוֹנָתָן הַפִּשְׁתָּנִי הַזֶּה כְּשֶׁפִּשְׁתָּנוֹ לוֹקֶה אֵינוֹ מַקִּישׁ עָלָיו בְּיוֹתֵר מִפְּנֵי שֶׁהִיא פּוֹקַעַת, וּכְשֶׁפִּשְׁתָּנוֹ יָפֶה הוּא מַקִּישׁ עָלָיו בְּיוֹתֵר, לָמָּה שֶׁהִיא מִשְׁתַּבַּחַת וְהוֹלֶכֶת. כָּךְ הַקָּדוֹשׁ בָּרוּךְ הוּא אֵינוֹ מְנַסֶּה אֶת הָרְשָׁעִים, לָמָּה שֶׁאֵין יְכוֹלִין לַעֲמֹד, דִּכְתִיב (ישעיה נז, כ): וְהָרְשָׁעִים כַּיָּם נִגְרָשׁ, וְאֶת מִי מְנַסֶּה אֶת הַצַּדִּיקִים, שֶׁנֶּאֱמַר: ה' צַדִּיק יִבְחָן, (בראשית לט, ז): וַיְהִי אַחַר הַדְּבָרִים הָאֵלֶּה וַתִּשָּׂא אֵשֶׁת אֲדֹנָיו וגו'. וַיְהִי אַחַר הַדְּבָרִים הָאֵלֶּה, אָמַר רַבִּי יוֹנָתָן הַיּוֹצֵר הַזֶּה כְּשֶׁהוּא בּוֹדֵק אֶת הַכִּבְשָׁן שֶׁלּוֹ אֵינוֹ בּוֹדֵק אֶת הַכֵּלִים הַמְרֹעָעִים, לָמָּה שֶׁאֵינוֹ מַסְפִּיק לְהָקִישׁ עָלָיו אַחַת עַד שֶׁהוּא שׁוֹבְרוֹ, וּמַה הוּא בּוֹדֵק בְּקַנְקַנִים בְּרוּרִים, שֶׁאֲפִלּוּ הוּא מַקִּישׁ עָלָיו כַּמָּה פְּעָמִים אֵינוֹ שׁוֹבְרוֹ, כָּךְ אֵין הַקָּדוֹשׁ בָּרוּךְ הוּא מְנַסֶּה אֶת הָרְשָׁעִים אֶלָּא אֶת הַצַּדִּיקִים, שֶׁנֶּאֱמַר: ה' צַדִּיק יִבְחָן. אָמַר רַבִּי אֶלְעָזָר לְבַעַל הַבַּיִת שֶׁהָיָה לוֹ שְׁתֵּי פָּרוֹת אַחַת כֹּחָהּ יָפֶה וְאַחַת כֹּחָהּ רָע, עַל מִי הוּא נוֹתֵן אֶת הָעֹל לֹא עַל אוֹתָהּ שֶׁכֹּחָהּ יָפֶה, כָּךְ אֵין הַקָּדוֹשׁ בָּרוּךְ הוּא מְנַסֶּה אֶלָּא הַצַּדִּיקִים, שֶׁנֶּאֱמַר: ה' צַדִּיק יִבְחָן.
“It was after these matters, God tested Abraham and said to him: Abraham, and he said: Here I am” (Genesis 22:1). “He said: Please take your son, your only one, whom you love, Isaac, and go you to the land of Moriah, and offer him up there as a burnt offering upon one of the mountains that I will tell you” (Genesis 22:2). “It was after these matters, God tested Abraham.” It is written: “You have given those who fear You a banner [nes] to wave [lehitnoses], because of truth [koshet], Selah” (Psalms 60:6) – test [nisayon] after test, elevation after elevation, in order to test them in [the eyes of] the world, and in order to exalt them in [the eyes of] the world, like an ensign [nes] on a ship. Why to such an extent? It is because of truth [koshet] – so that God’s attribute of justice would be proven true in the world. If a person says to you: ‘He [God] makes wealthy whom He wishes to make wealthy, he makes poor whom he wishes, and he crowns as king whom he wishes, [all arbitrarily]; when He wished, He crowned Abraham king, when He wished, He made him wealthy,’ you can respond and say to him: ‘Are you able to do what Abraham our patriarch did?’ And when he says: ‘What did he do?’ You tell him: ‘“Abraham was one hundred years old when [his son Isaac] was born to him” (Genesis 21:5), and after all that suffering, it was said to him: “Take now your son, your only one,” yet he did not hesitate.’ That is, “You have given those who fear You a banner to wave.” “The Lord tests the righteous, but He hates the wicked and the lover of injustice” (Psalms 11:5) – Rabbi Yonatan said: A linen producer, when his flax is inferior, he does not beat it extensively because it would break, but when his flax is of high quality, he beats it exceedingly, because it continually improves [through this process]. So, the Holy One blessed be He does not test the wicked. Why? Because they would be unable to withstand it, as it is written: “But the wicked are like the stormy sea” (Isaiah 57:20). Whom does He test? It is the righteous, as it is stated: “The Lord tests the righteous,” [such as in this incident:] “It was after these matters that his master's wife [cast her eyes upon Joseph]” (Genesis 39:7). “It was after these matters” – Rabbi Yonatan said: A potter, when he wants to evaluate [the products of] his kiln, he does not test the fragile vessels. Why? It is because he would not be able to knock on one of them even once without breaking it. What does he test? The sturdy vessels, as even if he knocks on one of them several times, he will not break it. So, the Holy One blessed be He does not test the wicked, but rather, the righteous, as it is stated: “The Lord tests the righteous.” Rabbi Elazar said: This is analogous to a homeowner who had two cows, one strong and one feeble. Upon which one does he place the yoke? Is it not upon the one that is strong? So, the Holy One blessed be He tests only the righteous, as it is stated: “The Lord tests the righteous.”