No, alcohol does not convert into sugar.
Here’s the gist (keep in mind, this mostly applies to just type 1s, not sure how it translates to type 2):
Alcohol stops the body’s release of glucose in your liver (a.k.a. why you wear the pump 24/7). Without that glucose because your liver is occupied with the alcohol, the normal amount of insulin you take, your blood sugar will drop. Sometimes it can happen at 2 hrs, sometimes as long as 8-10 hrs. after.
Now this doesn’t take into account all the other crap you mix into alcohol to make it something you would want to consume. Mixed drinks have sugar. Sugar makes your blood sugar go up. Beer has sugar (about 15 g.).
Now, for some people, the sugar cancels out the alcohol so you don’t need to do much. For me, I take some insulin for the sugar, and then lower my basal much later for the alcohol, because the effect of the alcohol hits at about 5 hrs. It’s important to eat while you drink, because for most people, the carbs from beer might not do very much, and the alcohol will keep the liver occupied for several hours, which means you need to have some food in your system to substitute for the liver.
The best way to know what to do is to test. You can drink with diabetes, but you need to take care of yourself if something happens. Test before you drink, about every hour, about an hour after you’re done, and when you wake up. If you can, test in the middle of the night.
Hope that makes sense! Took me forever to figure it out.