'Very basic question: Is my postgres password set correctly? When are we using postgres passwords?

[LuisMontanoMichel@Luis-MacBook-Pro~% psql
psql (14.2)
Type
"help" for help.
[LuisMontanoMichel=# ALTER ROLE
"LuisMontanoMichel" WITH PASSWORD 'examplepass':
ALTER ROLE
[LuisMontanoMichel=# \q
[LuisMontanoMichel@Luis-MacBook-Pro~% psql
psql
(14.2)
Type
"help"
for help.
LuisMontanoMichel=#

I have a very basic question about postgres passwords. I set my own but I still can start psql without typing it. When will my password be used?

postgresql


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