No. The „traffic lights“ are only meant as a reminder to the user if he has checked the contract‘s identity (green) or not (red), or if the contact forms part of the address book (orange). The verification level has no effect on the crypto.
"The dots are an indicator for a contact's verification level. They don't affect the encryption strength, but are a measure for the probability, that the saved public key of a contact belongs indeed to that contact."
"The verification levels don't change anything in the encryption strength (it is always the same high-grade ECC based encryption), but they are a measure of thetrust that the public keys saved for your contacts really belong to them. Having the wrong public keys leaves you open to man-in-the-middle (MITM) attacks, therefore it isimportant to verify the keys."
