When a person is directed toward seeking and revealing the Creator within himself, then he is called Israel, and all his actions are called the sons of Israel, that is, they are aimed at creating a spiritual vessel in him in which he would feel this.
Question: Can everyone feel the quality of “Israel?”
Answer: Of course. In general, Jews are not a people. They are immigrants from ancient Babylon, from all those peoples who scattered from there, across the entire globe and formed the peoples of the world. Therefore, the Jews are like a mini-collection of all the peoples of the world, a mini-humanity.
But how did they get together? By their striving to reveal the Creator. Therefore, they called themselves “Isra-el.” “El” is the Creator and “Isra,” from the word, “Yashar” means “direct.”
From KabTV’s “Ask a Kabbalist” 3/20/19