AML & Travel Rule
Customer Due Diligence (CDD)
The AML obligation to identify and verify customers, understand the relationship, and monitor transactions.
Definition
CDD is the AML obligation under AMLR/5AMLD requiring obliged entities to identify and verify customer identity, understand the nature of the business relationship, and conduct ongoing monitoring. Three levels: standard CDD, simplified CDD (SDD), enhanced CDD (EDD).