No, the Easysoft ODBC-InterBase driver doesn't need to do this, as the InterBase client and server handles encryption and decryption.
Let's say you have a InterBase table with two columns; one is an integer column and the other is an encrypted column. When the InterBase ODBC driver reads the table from the InterBase client, the client says you have both an integer and a string column. InterBase decrypts the string column if you query the column, and encrypts the string column if you insert data. The encryption and decryption process is transparent to the InterBase ODBC driver and application.