Horav Elchonon Wasserman Z”l explains the distinction between the term “am” and the term “goy”, both of which are commonly translated as “nation”. “Goy” connotes an autonomous nation which is settled in its own land under its own governance. In contrast, “am” implies a people or large group of individuals who speak the same language and maintain a common culture. They comprise a “nation” despite their lack of their own land.
This differentiation clarifies Moshe’s declaration to Bnei Yisrael, “Today you have become an am”, for they had accepted the Torah, which was written in seventy languages on the various stones. Moshe’s statement suggests that Bnei Yisrael are a nation by virtue of the Torah which accompanies them throughout the entire world. Even when they are exiled from their land, their common heritage will be the Torah. Through Am Yisrael‘s acceptance of the Torah, they became a nation whose common denominator is their religion, founded entirely upon the precepts of the Torah. This all encompassing bond is our birthright and only license to exist as a nation.