I'm on T4's for hypothyroidism, just started them a few weeks ago. I was diagnosed with that susequent to a blood test I had post cycle. Apparently the half life of T4 is much longer than T3 so it is much more appropriate to generate "even" levels of the Thyroid hormone(avoiding spikes).
Yes, T4 becomes biologically active through conversion into T3. Its also about 4 times weaker than T3 as well.
Realgains can really school you on this subject. He's been hypothyroid for decades(on T4's) and knows his Endocrinology very well.
Peace,
S.