A certificate of deposit (CD) is a type of deposit account offered by banks and other financial institutions. CDs typically offer a higher interest rate than a regular savings account, but they also have a fixed term, meaning that you cannot withdraw your money early without penalty.
In the context of securitisation, CDs can be used as collateral for securitisations. This means that the issuer of the securitisation can use the CDs as security for the securities that are issued. If the issuer defaults on the securities, the holders of the securities can seize the CDs.
CDs are a relatively safe investment, as they are backed by the full faith and credit of the issuing bank. However, there is still some risk involved, as the issuer could default on the CDs.