Abstract: With the rapid development of digital technology, continuous digital transformation has become a new phenomenon in the practice field. Continuous digital transformation provides beneficial ideas for accelerated adaptive organizations to win sustainable competitive advantage. Digital capability, as the prerequisite of digital transformation, is vital for enterprises to achieve digital transformation. As an organizational capability, digital capability is the output of resource orchestration mechanism. In the context of the current complex and fast-changing continuous digital transformation, how to adopt appropriate resource orchestration actions to develop digital capability according to the changes of internal and external situations has not been answered by existing studies. This study explores the evolution mechanism of digital capability in the context of continuous digital transformation from the perspective of resource orchestration. Focus on the following research questions: How the digital capability evolves in the context of continuous digital transformation? How to build and develop digital capability through resource orchestration? This study adopts a longitudinal case study approach which is suitable to extend the existing theory and generate new theoretical insights. Given the research question, theoretical sampling is employed when selecting the sample, thus the CredEx Fintech which is a new technology-based venture with continuous digital transformation practice is selected as the sample. The data encoding method is utilised to analyze and theorize the data. The research results show that: (1) In the context of continuous digital transformation from product digitalization transformation to DT(Digital Technology) productization transformation, the digital capability evolves from intelligence technology capability to technology reuse capability. (2) Resource orchestration evolves from integrated resource construction and self-consistent resource coordination to decoupled resource construction and transferred resource coordination. (3) Integrated resource construction and self-consistent resource coordination exert short-term resource reconstruction effect and innovation iteration effect respectively to form intelligence technology capability, while decoupled resource construction and transferred resource coordination exert module coupling effect and migration exogenous effect respectively to form technology reuse capability. This study proposes a development process model of digital capability in the context of continuous digital transformation, and clarifies the antecedent, effect mechanism and advancement path of digital capability. Theoretical contributions are as follows. First, this study focuses on continuous digital transformation which is an important research situation, develops the process model based on “resource orchestration—effect mechanism—digital ability” to explain the dynamic evolution mechanism of the digital ability, bridging the gap in the research of antecedent and dynamics of digital capability. Second, the special attributes of the new digital resource create more research opportunity for the resource orchestration theory. This study discusses the evolution pattern of digital resource orchestration in the context of continuous digital transformation, which contributes to the new resource orchestration theory in digital economy. Third, the study builds up the research framework of “resource construction—resource coordination—capability building” to further clarify the internal relationship between resource and capability and discusses the generation and advancement mechanism of digital capability, which deepen the research taking the resource orchestration as capability output mechanism. Moreover, this study provides management enlightenment for how enterprises construct and develop digital capability in the digital economy era.