The creation of Khalsa was an epoch-making event in the history of the Sikhs. In the words of Dr. Hari Ram Gupta, a distinguished historian of Punjab, “The creation of Khalsa was an epoch-making event in the religious and political history of the country.”

The significance of creation of Khalsa can be studied, as under:

1. Completion of the work of Guru Nanak Dev Ji: Guru Nanak Dev Ji founded the Sikh religion. All his successors worked with great devotion for the progress of the Sikh religion. Guru Gobind Singh Ji completed the works started by Guru Nanak Dev Ji by creating the Khalsa.

2. End of the Masand System: The fourth Guru Sahib, Guru Ram Das Ji had started Masand system. The Masands had done commendable work by spreading and popularising the Sikh religion during the early years of their existence. However, by the period of Guru Teg Bahadur Ji, the Masands had degraded themselves by becoming selfish, greedy, and corrupt. Hence, Guru Gobind Singh Ji instructed his Sikhs to snap all their ties with the Masands, Consequently, the Masand system ended.

3. Importance of Khalsa Sangat Enhanced: Guru Gobind Singh Ji granted the right to Khalsa Sangat to prepare the Khande Ka Pahaul and of investiture for the new entrants to the Khalsa Panth. The Khalsa Sangat was also entrusted with the right to take decisions in a democratic way. Therefore, the importance of the Khalsa Sangat increased.

4. Rise in the number of the Sikhs: Guru Gobind Singh Ji united the Sikh« into a common bond of brotherhood, the Khalsa, by the investiture ceremony of Amrit’ from Khande Ka Pahaul. Guru Sahib Ji ordained, that from then onwards, any five Khalsa Sikhs could perform the investiture ceremony of ‘Amrit’ and admit the followers to Khalsa Panth. Consequently, the membership of the Sikh community increased by leaps and bounds.

5. Infused a New Spirit among the Sikhs: The Sikhs were filled with a new spirit of sacrifice by the creation of the Khalsa Panth. They started calling themselves the ‘Singhs’ (lions). By feeling like lions and being addressed as Singhs, their fears and cowardice disappeared. They started maintaining high moral standards in their conduct. Further, they felt themselves united with the end of caste considerations among them.

6. Brave and successful struggle against the Mughals: Guru Gobind Singh Ji had infused the Sikhs with a spirit of courage and fearlessness. Guru Sahib made his sparrows to tear hawks and his single burly soldier was ready to cross swords with one lakh soldiers. It actually happened in the battle of Chamkaur Sahib when forty Sikhs crossed swords with thousands of Mughal soldiers. As a result of the foundation of the Khalsa, the Sikhs successfully fought many battles against the Mughals’from 1699 to 1708.

7. Battles between Guru Gobind Singh Ji and the Hill Chiefs: The creation of Khalsa alarmed the hill chiefs. Especially, Bhim Chand of Bilaspur was highly perturbed and terrified by the military activities of Guru Gobind Singh Ji. Bhim Chand made alliance with the other hill chiefs in order to counter the rising power of Guru Sahib. As a result, Guru Sahib was compelled to fight battle against them.

8. Distinctive symbols of the Sikh Community: By the time of Guru Gobind Singh Ji, the Sikhs had acquired their exclusive sacred towns for pilgrimages. The Sikhs had their own holy book in ‘Adi Granth Sahib’. The Sikhs had by then their own distinctive festivals and customs. After the creation of Khalsa, they were given their own five sacred Ks. In this manner, they acquired distinctive outer symbols also, which made them a distinct religious sect.

9. Saviour of the Hindu Religion: Aurangzeb was cruelly oppressing the Hindus. The Singhs or the Khalsa offered him a stiff resistance. The people of other religions were much impressed by their examples and took courage to start a series of revolts against Aurangzeb. In this manner, the Hindu religion was saved from extinction especially in the North India.

10. End of Superstitions: The Khalsa did not accept the useless beliefs of the Hindus. The Khalsa stopped practising the Hindu ceremonies concerning sacrifices, Yajnas, fasting, Idol worship, etc. In this manner, with the coming of Khalsa, the clouds of superstitions and ignorance were cleared.

11. Popularity of the Democratic Principles: Guru Gobind Singh Ji initiated his Five Piyaras into the Khalsa Panth and then himself stood before them and asked them to initiate him into the Khalsa. Guru Sahib also ordained that any five Khalsas could initiate a person into the Khalsa Panth by performing the ceremony of initiation (Baptism).The Guru Sahib thus based the Khalsa Panth on sound democratic principles.

12. Rise of Political Power of the Sikhs: With the creation of the Khalsa, the spirit of heroism, fearlessness, courage, and self-sacrifice became alive forever among the Sikhs. Therefore, even after Guru Gobind Singh Ji had left the mortal world, the struggle of the Sikhs continued with the same force against the tyranny of the Mughals. Ultimately, they occupied a large part of the Punjab under the leadership of Banda Bahadur. They were severely persecuted by the Mughal governor of Lahore for some years after the death of Banda Bahadur, but they survived by establishing their reputation of being a courageous community which was firm in its resolve to destroy the Mughal power in the Punjab. By 1762, the powerful Sikh chiefs were able to establish their small independent states called the Misls.