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Recent advances in the cyber-physical smart grid (CPSG) have enabled a broad range of new devices based on the information and communication technology (ICT). However, these ICT-enabled devices are susceptible to a growing threat of cyber-physical attacks. This paper performs a thorough review of the state-of-the-art cyber-physical security of the smart grid. By focusing on the physical layer of the CPSG, this paper provides an abstracted and unified state-space model, in which cyber-physical attack and defense models can be effectively generalized. The existing cyber-physical attacks are categorized in terms of their target components. We then discuss several operational and informational defense approaches that present the current state-of-the-art in the field, including moving target defense, watermarking, and data-driven approaches. Finally, we discuss challenges and future opportunities associated with the smart grid cyber-physical security.