CETP binds to lipoproteins through specific lipid-binding domains. The protein's hydrophobic tunnel-like structure allows it to shuttle cholesterol esters and triglycerides between different lipoproteins. The process involves multiple steps: 1. CETP binds to a donor lipoprotein, which contains the cholesterol ester. 2. The cholesterol ester is transferred into CETP's hydrophobic tunnel. 3. CETP then binds to an acceptor lipoprotein. 4. The cholesterol ester is transferred from CETP to the acceptor lipoprotein. This mechanism underscores the efficiency of CETP in catalyzing lipid transfers, which is essential for lipid homeostasis.