The changing demographics of language learners and the shifting landscape of English language teaching (ELT) necessitate the adoption and implementation of a new language assessment paradigm that is inclusive, equitable, strengths‐driven, differentiated, multimodal, and multidimensional. The asset‐based language assessment, a responsive and transformative approach to assessing language learning, aims to respond to this pressing need. An empowering approach, it recognizes what learners know, understand, and can do in a given language, and builds on these in the design and implementation of language assessment practices. Respecting learner diversity in terms of assets, it offers language learners varied opportunities to demonstrate their learning. This entry explores the underlying theories, concepts, and practices that support the asset‐based language assessment approach. It also presents innovations and current practices that can be adopted by language classroom practitioners. It concludes with some possibilities and practicable recommendations for wider and more sustainable applications in various ELT contexts.