This is strictly for transactions that have remained entirely on an exchange. Suppose you sell ETH for $100 profit and you choose to convert it into USD. Now, the money is no longer in ETH form and has been converted to USD and is held in your fiat wallet on the exchange. The money has not moved from the exchange wallet and back into a fiat bank account. Is it a capital gain yet or does it only count as a full sale, and therefore a capital gain, when it is deposited back into a fiat account?
