They are cryptocurrencies. But they are not fiat. They are IOUs of fiat. Token represents promise of some other party to possibly redeem(if you collect enough tokens) to convert it to more commonly accepted fiat they promise they somehow hold.

Your money is safe with us. We promise. With lot less oversight than most other solutions for holding money...

I mean they use Blockchain, right? Isn't that like the only real requirement for the name crypto?

As long as you burn as much electricity as Andorra does in a week just to make a transaction, you're probably a cryptocurrency. And that's their sole benefit it seems.