Is transferring to USDT taxable?

I'm curious to know, when it comes to cryptocurrency transactions, is transferring funds from one cryptocurrency to USDT, or Tether, considered taxable? Does this action alone, without converting USDT back to fiat currency, trigger any tax obligations? And if so, how does the tax treatment differ from simply holding or trading cryptocurrencies directly? Understanding the intricacies of cryptocurrency taxation is crucial for investors, so I'd appreciate a clear and concise explanation on this matter.