The rapid digital transformation of the banking sector has significantly enhanced financial accessibility, efficiency, and convenience for customers. With the widespread adoption of internet banking, mobile banking, and digital payment systems, financial institutions have increasingly relied on technology-driven platforms to deliver services. However, this digital evolution has simultaneously exposed banking systems and users to a wide range of cybersecurity threats, including phishing attacks, malware intrusions, identity theft, ransomware, and data breaches. These threats not only compromise financial assets but also erode customer trust in digital banking ecosystems. This study focuses on examining the cybersecurity challenges in digital banking with particular emphasis on customer awareness and risk perception. Customer awareness refers to the level of knowledge and understanding users possess regarding safe digital banking practices, while risk perception relates to how customers interpret and respond to potential cybersecurity threats. The study is based on secondary data collected from recent scholarly articles, industry reports, and institutional publications from 2022 to 2025. The findings indicate that although digital banking adoption has grown rapidly, customer awareness regarding cybersecurity measures remains moderate and often inadequate. Many users lack practical knowledge of essential security practices such as strong password management, recognizing phishing attempts, and using multi-factor authentication. Furthermore, risk perception varies significantly among users, influencing their behavior and decision-making in digital financial transactions. A gap between perceived and actual risk levels has been observed, leading to either overconfidence or excessive fear among users. The study concludes that enhancing customer awareness and aligning risk perception with real-world threats are critical for improving cybersecurity resilience. It recommends that banks, policymakers, and financial institutions implement targeted awareness programs, strengthen technological safeguards, and promote digital literacy to ensure a secure and trustworthy digital banking environment.