Dilgo Khyentse Rinpoche is most closely associated with the Nyingma school of Tibetan Buddhism, regarded as one of its foremost modern masters. Within that context, he stands as a principal holder of the Khyentse lineage, a line that traces back to Jamyang Khyentse Wangpo, who was central to the non-sectarian, or Rimé, movement. This Khyentse lineage is not merely a family of teachers, but a living stream of transmission emphasizing breadth of learning and an inclusive embrace of multiple traditions. As a recognized reincarnation within the Khyentse tulku line, his role was to sustain and extend this heritage of scholarship, practice, and non-sectarian vision.

Although rooted in Nyingma, his activity cannot be confined to a single school. He received, preserved, and transmitted teachings from all four major Tibetan traditions—Nyingma, Kagyu, Sakya, and Gelug—embodying the Rimé spirit in both study and practice. In this way, his lineage is not only a matter of institutional affiliation but also an expression of a non-sectarian ethos that honors the distinct strengths of each school. The Nyingma Khyentse lineage, as he upheld it, thus becomes a bridge, carrying forward the ancient Nyingma transmissions while opening its doors to the wider mandala of Tibetan Buddhist teachings.

Within the Nyingma framework, his lineage is especially associated with profound transmissions such as the Longchen Nyingthig and the Great Perfection (Dzogchen) teachings, as well as various treasure-text (terma) lineages. These currents of practice and realization form the inner heart of his spiritual inheritance. Through them, the Khyentse lineage manifests not only as a historical succession of masters, but as a contemplative path emphasizing direct insight into the nature of mind.