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Reader Names
Only users who are put in the Encryption Key field can read the document. This is not a security feature as much as a convenience to keep them "in the dark" about the passwords.
Even if they knew the password was stored in a particular database, they would still need the Encryption Key to view it.
Author Names
Only users who you, the document creator, decide can edit a document. The default is just you, the creator of the document, but you can put other Editors on the list.
If you put a name on the list who does not have the correct Encryption Key. they will not be able to view the data or edit the document.
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