What is wrong with tether ? It's a good way to allo pseudo-fiat trading for altcoin exchange which doesn't have the right too. Every Tether is backed by USB and you can withdrawal your tether easier than fiat. It's a respond to a real need. You can't be a cryptotrader with a lot of movement in your bank account. Tether allow you to do this.
According to the article posted, USDT's are not backed by USD's.