A method and apparatus are disclosed in a data processing system for establishing virtual endorsement credentials. The data processing system includes a hardware trusted platform module (TPM). Logical partitions are generated in the system. A different virtual TPM is generated for each one of the logical partitions. For each one of the logical partitions, the virtual TPM that was generated for the logical partition then dynamically generates a virtual endorsement key, which is stored only within a corresponding virtual TPM. Using the virtual endorsement key, each virtual TPM also generates a virtual endorsement credential for use by the logical partition that includes the virtual TPM. The virtual endorsement credential is generated within the data processing system without the data processing system or its devices accessing a trusted third party that is external to the data processing system.