With Hardy still feuding with Johnny Nitro and the other members of MNM into 2007, he was challenged once again by Nitro at New Year's Revolution in a steel cage match for the Intercontinental Championship. Hardy once again defeated Nitro. Hardy then teamed with Matt to defeat MNM at both the Royal Rumble and No Way Out pay-per-views. The next night on the February 19 episode of "Raw", Hardy lost the Intercontinental Championship to Umaga. In April 2007, Hardy competed in the Money in the Bank ladder match at WrestleMania 23. During the match, Matt threw Edge onto a ladder and encouraged Hardy, who was close to the winning briefcase, to finish Edge off. Hardy then leaped off the ladder, drove Edge through the ladder with a leg drop, injuring both Edge and himself. The two were unable to continue the match and were removed from ringside on stretchers.