Moshiach in every Jew

Lubavitcher Rebbe, Likutei Sichos II:599, Hisva'adus 5743, p.1315 (Free Translation)

The verse "a star shoots forth from Yaakov and a shevet rises from Yisrael" is referring to the King Moshiach, according to the targum and the midrash and the Rambam. In the Talmud Yerushalmi it is explained as referring to every single Jew individually. However, there is no contradiction between them: in the sefer Me'or Einayim it is said in the name of the Baal Shem Tov that in every Jew there resides a peice of the soul of Moshiach, and according to this—the two explanations fit and complement each other.

The all-inclusive redemption through Moshiach is dependent on the individual redemption through the "individual Moshiach" that is in every single Jew. The level of Moshiach in the soul [of every Jew] is not a consequence of his actions or his efforts, but simply because this is how he was created by the Holy One, blessed be He. The effort that is demanded of him is only to reveal and bring this from potential to actuality.