Then comes the repeat of the land promise, which will be the glorified earth in heaven for all who believe, and there is a condition in verse 9 that the covenant must be kept. Well of course; if God works a work of grace in your heart and you are a believer and you are converted, then you obey God.
Why was circumcision made the great sign of being under the law (Galatians 5:3), when in fact it originated in the Abrahamic covenant (John 7:22)? The Abrahamic covenant was a covenant of grace and of promise, but the national covenant made with Israel on Sinai was a legal covenant; it was about works (Galatians 4:24-25;), and those who failed to keep all its requirements were subject to a curse (Galatians 3:10). How could circumcision be taken from one covenant and made a sign of another covenant so different in character? Viewed as a sign of heart circumcision, physical circumcision instructed each Israelite what should be true of them spiritually. But if it was detached from heart circumcision and became an end in itself, then it turned into a sign of bondage. This is how Paul treats it in Galatians. Those who belonged to the physical side of the Abrahamic covenant but who never exercised faith and did not see that they needed to, were in a dangerous position. Under the covenant made on Sinai with the nation, God reminded them that descent from Abraham gave them nothing without personal faith, and they were still in bondage; they were still under the law which brings a curse. So circumcision was made to stand for all the requirements of the law which they failed to keep. This was a further incentive to drive them back to the promise, to drive them to grace in Christ Jesus.
‘And my covenant shall be in your flesh for an everlasting covenant.’ Reading this, people say, ‘Does that mean that circumcision should have gone on, and it lasts forever, and it should even be practised by the Christian church today on little boys; is that what it means?’ No, of course not, because we have Romans 10:4: ‘Christ is the end of the law for righteousness to everyone that believeth.’ The ceremonial practices of the law, including circumcision are finished in Christ. Christ is the end of the law. All symbolic acts of righteousness have been swallowed up by Christ's real act of perfect righteousness, when he lived a perfect life and offered himself up on Calvary's cross in obedience to the Father to bear away the sins of the redeemed. Now all symbolic righteousness in the Old Testament, all the rites and the ceremonies, are totally eclipsed by Christ's actual, real, literal offering of perfect righteousness. Christ is the end of the ceremonial law. So although the text in Genesis 17 says that it is perpetual, we must understand this to mean that it is perpetual before Christ comes, and after Christ comes it is perpetual in the sense that he has fulfilled all those symbols.