"On hold" is a metaphor from olden days of telephones, and is commonly used in some English-speaking nations to mean "waiting for service". If a telephone is connected to multiple lines, and one of the lines is active, instead of refusing incoming calls on the other lines, they can be placed in a queue where they are "on hold" waiting to be answered. HOLD was/is the label on a button on some multi-line telephones, meant to be a verb (hold the call) but used as a state descriptor when secretaries would offer to "place your call on hold" (i.e., in the Hold state). It is this state assignment that became a widely used pair of words: the project is on hold, your question is on hold, his life is on hold until the legal papers are in order.
StackExchange is also, by design or by accident, emulating some of the more cynical and telephone-specific aspects that developed around the words "on hold", where the call might hold perpetually or be disconnected, with neither outcome being unforeseen or unintentional. In that application, the use of HOLD is to appear to not refuse service, wasting the time of many callers who believe the words and stay on the line.
If SE would automatically tell OP the percentage of closed questions where an edit within 5 days was followed by re-opening and additional answers within 30 days, the posters could better decide whether to edit or abandon the questions.