The integration of Generative AI (GenAI) chatbots in education presents a transformative approach to enhancing learning, particularly in underserved and remote communities. These chatbots, with their ability to analyze data and deliver personalized experiences, address traditional educational challenges, and can bridge educational gaps, support multilingual education, and foster inclusivity. Meta-analytical evidence indicates that AI chatbots, especially when designed with human-like avatars, gamification, and emotional intelligence, significantly enhance learning outcomes. GenAI chatbots can thus support culturally relevant and context-specific education, empowering indigenous students, and educators by incorporating indigenous knowledge. However, ethical, and technical challenges, such as algorithmic biases and limited datasets, must be carefully considered. This paper provides an overview of the literature on ethical concerns in AI for indigenous education, reviews current recommendations and policies, and explores how AI-powered tutors can be tailored to meet the cultural and educational needs of indigenous learners. The paper concludes by proposing further research to address gaps in implementing GenAI chatbots in indigenous education, contributing to the broader goal of promoting indigenous innovations in the digital age.