Issues of segregation and difference in early-modern Dutch Batavia prove harder to define once we move beyond the picture presented by colonial authorities and move away geographically from the centre of colonial knowledge production. Ethnic quarters were established in the colonial cities, but religious identities blurred strict racial boundary making. Three case studies demonstrate how new lines of identification and distinction emerged, which cut across formal ethnic classifiers. Colonial societies were extremely complex places, where race, occupation, religion, class, and legal status constantly interplayed and directed the definition of social boundaries. Instead of thinking in terms of ethnic segregation as presented in the colonial records, this contribution proposes to think in terms of ‘moral communities’. By so doing, we might be able to balance better between ‘Closeness and Proximity’ in colonial societies. We can thus try to visualise colonial society not primarily as a hierarchical order with fairly strict or at least distinctive internal boundaries as defined by the colonial authorities, but as a society of different and overlapping socio-cultural spheres and as circles of trust rather than of bounded ethnic communities.