At this point, there’s no clear definition for the prophecy of the Chosen One in Star Wars canon, much less the significance behind its fulfillment.
George Lucas introduced this plot thread in the Prequel Trilogy and as fans will know, the Jedi of old believed that a chosen one of the living Force will come to bring balance by eliminating the Sith. Though when you think about it, balance by definition means that the Jedi and the Sith both need to be present or otherwise destroyed. Even The Clone Wars touched on this subject when Anakin, Obi-Wan and Ahsoka visited the planet Mortis and met with the embodiments of the cosmic Force – the Son, epitome of the dark side, the Daughter, portrait of the light side, and the Father, whose presence kept the balance between the other two.
As such, it stands to reason that even the Jedi’s perception of the prophecy was faulty. After all, it’s common knowledge that the Jedi of the Republic era had all but lost their way. Lucas also made a point of bringing this up through the timeline of the Clone Wars as much as he could. In a sense, their undoing was their own weakness, which is why Yoda and Obi-Wan chose to go into exile instead of fighting back.
But what if it was actually part of Anakin’s destiny to destroy the Jedi as well, to bring true balance? With the Jedi gone and the Sith destroyed, the Force could truly reach a place of balance. In fact, when you think about it, even the Sequel Trilogy seems to conform to this conceptual pattern.
After the fall of the Galactic Empire, Luke sought to restore the Jedi Order, but ultimately failed and chose exile like his predecessors. He came to the conclusions that the Jedi were wrong about the Force, and that it didn’t belong to either the light side or the dark. What’s more, even Rey, who’s the main protagonist of the story, tilts between the two sides of the coin through the Sequel Trilogy.
By the time The Rise of Skywalker comes to a close, Rey and her yellow-bladed lightsaber symbolize a new hope for the Force and its future. And perhaps that’s what Lucasfilm meant as the conclusion of the Skywalker Saga in Star Wars and the definitive end to the conflict of the Sith and the Jedi. A balance that would take over by the destruction of both sides and an individual with access to ancient knowledge of the Force, one that precedes both the teachings of the deviated Jedi and the rise of the Sith altogether.