In Indonesia, Religious millenarian communities face pressure to become more open while maintaining their exclusive identities to foster internal cohesion. Previous studies often separate institutional change, identity negotiation, and social inclusion, so they fail to explain how communities move from resistance to strategic engagement. This study examines how identity is negotiated during this orientation shift and how this process reshapes relationships with the community. Using ethnography, the study collected data through observations, semi-structured interviews, and institutional documents at the Wali Barokah Islamic Boarding School, then analysed them thematically. The findings reveal three interconnected processes. First, theological reinterpretation and openness to literature build internal legitimacy for change. Second, selective modernisation expands educational, technological, and socioeconomic capacities while maintaining religious discipline. Third, loosening boundaries allows public services, interfaith encounters, adjustments to religious practices, and closer engagement with religious and state authorities. This study concludes that institutional change can occur without eliminating old identities, while opening new spaces for engagement. Therefore, religious millenarian communities need to design a direction for change that aligns internal improvement, member capacity building, and participation in the public sphere.
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