Which of the following best describes currency?

Currency is best described as coins and bills in public circulation because it specifically refers to the physical forms of money that are issued by a government and used as a medium for exchange. This definition encompasses paper money and coins, which are widely accepted for transactions in daily commerce.

While assets stored in banks may contain money, the term 'currency' typically refers to the tangible forms that are utilized by the public for purchasing goods and services directly. Investments in the stock market, on the other hand, involve ownership stakes in companies rather than being a medium of exchange, thus they do not qualify as currency. Cryptocurrencies, while they represent a new form of digital currency, do not fall under the traditional definition of currency like coins and bills do, as they are not universally accepted or regulated in the same manner. Therefore, the most accurate characterization of currency remains coins and bills actively used in the economy.