If we use Settings → Editor → Encrypt option our graphs get encrypted and on reindexing it ask for decrypt passphrase as it should. But it doesn’t ask for any decrypt passphrase on opening the logseq app.
Simply close and reopen the app does not prompt for decrypt passphrase but only on reindexing it would.
I think Logseq should also ask for a decrypt passphrase on opening any encrypted graph and if successful then only it should load the graph and show the data as it does for reindexing.
Otherwise I guess anyone if gets access to pc and logseq app can view the content. Above stated condition seems to be a better choice about how the encrypted data should be shown to anyone opening the logseq app.
Windows 10, Logseq version0.6.9