Can a Traditional Financial Institution Issue a Token for Community Governance?

Yes, a traditional financial institution (TradFi) could issue a token, likely as a security token, to represent fractional ownership or voting rights in a specific product or fund. However, this structure would be subject to extensive securities regulations, unlike many current DeFi tokens.

The 'community' would likely be restricted to accredited investors or clients, making it different from the open-access crypto model.