In this verse, it is expressed that jñān, or knowledge, in the true sense of the word and in accordance with the precepts of devotion, is actually Bhagavad-aiśvarya-jñān, or knowledge of the supremacy of the Lord.

The general seekers of knowledge may consider realisation of the soul—as distinct from the body and material elements—to be enlightenment, but this does not constitute ultimate knowledge.

Thus, to explain the conception of His Lordship, the Lord reveals His forms, His potencies, and their characteristics: “My different aspects are Brahma, Paramātmā, and Bhagavān. Brahma is a nondifferentiated, formless aspect of My potency. Paramātmā, the Supersoul, is also an appearance of My potency (in relation to the cosmic manifestation), and this aspect of Mine is not eternally manifest. Only My form of Bhagavān, the Supreme Lord, is My eternal Self, and in this form My three eternal potencies exist as antaraṅgā- or chit-śhakti—the internal, divine potency; bahiraṅgā- or māyā-śakti—the external, illusory potency; and taṭasthā- or jīva-śakti—the marginal potency comprising the innumerable living beings.”

In this verse, the Lord has described His external, illusory potency.

—Śrīla Bhakti Vinod Ṭhākur