Hackers targeted centralized exchanges (CeFi) more frequently in 2023, resulting in a doubling of CeFi hack damage to $694 million. Hacken, a blockchain security firm, attributed the increase in CeFi hacks to vulnerabilities in private key management and multi-sig settings. On the other hand, DeFi hacks saw a significant decrease of 40% to $474 million this year, as security measures in bridge-related exploits improved. DeFi had been particularly vulnerable to bridge exploits in the past. Despite the overall decrease in DeFi hacks, the industry remains vulnerable to sophisticated attacks. Exchanges and DeFi protocols must prioritize security measures such as rigorous code audits, secure key management, and robust multi-factor authentication to mitigate potential risks and protect user funds.