What did God's covenant do for the nation of Israel?
God's covenant gave Israel the Law, priesthood, and sacrificial worship, making them aware of His holiness and sovereignty and preparing them for a future role. It lifted them from humanity's mainstream into covenant relationship as God's favored, chosen people, a peculiar treasure above all people.
Les explains that God told the nation of Israel He would give them the Law, the priesthood, and the whole system of sacrificial worship. The purpose was to make them aware of God's holiness, His sovereignty, and that God was preparing them for a future role amid the pagan idolatry around them. Les notes that the whole world was steeped in idolatry except for the offspring of Abraham. In Exodus chapter 19, God says that if they obey His voice and keep His covenant, they shall be a peculiar treasure unto Him above all people. Les likens this to the lion on the board: it lifts Israel out of the mainstream of humanity and puts them into covenant relationship as God's favored, chosen people.
Now therefore, if ye will obey my voice indeed, and keep my covenant, then ye shall be a peculiar treasure unto me above all people: for all the earth is mine: