For EAP-PEAP MSCHAPV2 authentication, this optional parameter tells Radiator to convert the inner EAP-MSCHAPV2 request into a conventional RADIUS-MSCHAPV2 request. The new RADIUS-MSCHAPV2 request is re-despatched to the Handlers, where it is detected and handled with <Handler ConvertedFromEAPMSCHAPV2= 1>.

This is useful when proxying PEAP-MSCHAPV2 inner requests to a remote RADIUS server that can handle ordinary RADIUS-MSCHAPV2, but not EAP authentication. See goodies/eap_peap_mschap_proxy.cfg in your distribution for an example of how to configure convert and proxy system.