You might want to ask Doug in the Aeris sub-forum under manufacturer's Q&A.
My understanding is that this is a safety option to where, if this option is set to ON, the BC will default to a very restrictive FO2 setting of 50% unless you enter something different.
If the computer cycles off after diving, which takes a long time, it will reset to air. If you make more than one dive and the computer remains on, and you have set an FO2 other than air, you have to to either remember to reset your FO2 for the follow-on dive, or if this option is set, the computer will assume 50%
If you have this option set to ON, the unit will assume 50% unless you tell it different. If you set this option to OFF, the last entered FO2 will be used on a subsequent dive. So, it protects you if it is set to ON by being very conservative if you forget to resety you FO2 value. If you set this to OFF it is up to you to reset the FO2 if you are changing mixes. If you forget, you may have a incorrect readouts and that can be dangerous if you are diving a different FO2 than the computer is set to.