So what's the point of it being pegged to 1 USD per token if it's not as good as cash? Yes, it will save your portfolio on dumps but wouldn't it be nicer if you can conveniently convert to cash with lesser fees to BTC or ETH instead of letting it sit in the exchange or wallet for a while until the market favors your orders?
Tether was created with 1:1 real dollar value. So that traders can simply convert their crypto to tether and hold it. It's nothing but another alt coin. When you want to cash out then this is what I follow...
1. Convert the tether to btc or any other alt
2. Send the coin to another exchange that allow Fiat withdrawal
Alternatively if the exchange which allow fiat withdrawal have tether then you can exchange tether with USD and then cash out.