Cybersecurity has become essential in safeguarding digital finance from increasingly sophisticated threats such as data breaches, fraud and regulatory non-compliance. As financial services become more digitized, FinTech firms face significant challenges, including vulnerabilities in digital transactions, cloud infrastructure, and the security of application programming interfaces (APIs). A key focus is on blockchain technology, which, while offering enhanced security through its distributed ledger, remains vulnerable to wallet hacking and smart contract exploits. Cloud-based systems also pose risks, particularly when third-party providers lack strong cybersecurity measures. To address these issues, FinTech companies rely on existing cybersecurity frameworks and regulatory compliance with laws like GDPR and PCI-DSS to ensure data protection and consumer trust. This paper employs case studies and empirical data to illustrate effective strategies including multi-factor authentication (MFA), encryption, and AI-driven fraud detection for enhancing security. The findings underscore the importance of proactive measures like continuous monitoring and compliance audits to improve cybersecurity outcomes. The paper concludes by recommending that FinTech firms adopt strategic, proactive approaches to cybersecurity, emphasizing the importance of MFA, AI, and regulatory compliance to protect digital finance and ensure trust across the financial ecosystem.