Acts Theology 130: Gentiles: Unbelievers Or Ethnicity?

The opening of 1 Peter addresses 'elect exiles of the dispersion.' The question arises whether this refers exclusively to Jewish believers or to a broader category that includes Gentile Christians. Peter's language, though referencing the 'dispersion,' is less specific than James 1:1, which explicitly mentions the 'twelve tribes.' This distinction leaves room for varied interpretations concerning the letter's intended audience. Is Peter using the term 'Gentiles' as an unbelieving people group, or using the word 'dispersion' in a broader sense that includes both Jewish and Gentile believers?
Paul's letters offer insight into how the term 'Gentile' was used in the early church. In Ephesians 4:17, Paul admonishes, “you must no longer walk as the Gentiles do in the futility their minds,” clearly referring to unbelievers generally, not an ethnic distinction within the Christian community. Similarly, in 1 Thessalonians 4:5, he contrasts Christian conduct with the 'passion of lust like the Gentiles, who do not know God.' This highlights a common New Testament usage of 'Gentile' to denote those who are outside of Christ, irrespective of their ethnicity, when addressing mixed congregations.
Therefore, when approaching passages like 1 Peter, it's appropriate to consider that 'Gentile' may function as a generic term for unbelievers, transcending ethnic identity. This understanding aligns with the New Testament's broader narrative of a 'circumcision-neutral' church, where both Jewish and Gentile believers are part of God's chosen family, and unbelievers are distinguished not by ethnicity, but by their lack of faith. This allows for the rich appropriation of Old Testament language and concepts to describe the new covenant community.