Neither Do They Dwell in Me
And yet everything that is created does not rest in Me. Behold My divine mystery!
Immediately after saying all beings dwell in Him, Krishna paradoxically says they do not. This is not contradiction but pointing to mystery beyond logic. The Divine both contains all and exceeds all containing; supports all yet needs no support. Such paradox stretches the mind toward what cannot be conceptualized. Like a dream existing in the dreamer's mind without affecting the dreamer, creation exists in God without limiting God.
And yet everything that is created does not rest in Me. Behold My mystic opulence! Although I am the maintainer of all living entities and although I am everywhere, I am not part of this cosmic manifestation, for My Self is the very source of creation.
Shankaracharya uses the dream analogy—the dreamer contains the dream, yet remains untouched by it. Similarly, God contains the universe without being limited by it.
Bhagavad Gita