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- Crypto miners are stocking SSDs after observing a growing interest in Proof-of-Time mining consensus
- Galax SSD manufacturer has raised its voice following the usage of SSDs for mining operations
- Galax has warned that the warranty of the SSDs could void if used for mining cryptocurrency
- Although the Proof-of-Time algorithm is considered greener than existing mechanisms, it can push the prices of SSDs
Crypto miners are using excessive volumes of Solid-State Drives (SSDs) that writes-faster. Following the scenario, Galax, an SSD manufacturer, posted a notice on its Chinese website. The notice contained a warning regarding the warranty of the SSDs that can be void if the users will use that for digital currency mining operations. The hard disk manufacturer took such a step after observing the increasing demand to mine Chia, a new cryptocurrency designed by Bram Cohen.
How Chia attracted crypto miners?
Chia is a cryptocurrency designed by Bram Cohen, who has also developed BitTorrent protocol. Unlike other crypto assets like Bitcoin and Ethereum that require powerful processing, Chia requires more storage for its mining operation.
Indeed, the cryptocurrency is based on the Proof-of-Time and storage mining mechanism. Hence, to mine this crypto-token, the miners require large amounts of storage with faster writing speeds.
Following the mining option, Chia has become one such crypto asset that has attracted individuals seeking to mine cryptocurrency. Moreover, the project had attracted miners before it began to trade.
Why is Chia concerning SSD manufacturers?
Galax warned that the users of its hard disk would void their warranty if they use it for crypto mining operations. However, the manufacturer didn’t mention China specifically in its warning. Notably, Galax highlighted that such operations use higher data writing volume than regular users.
Simultaneously, Galax is the first hard disk manufacturer that commented on the merging impact of digital assets miners need for SSD storage. According to a report shared by TechSpot, Chia’s mining operation has spurred a 500% jump in the sales of Adata SSDs. On the other side, Jihae Jinwei, China’s memory peripheral manufacturer, also revealed that its 1TB and 2TB NVMe disks were all sold out.
Is Proof-of-Time a better consensus mechanism?
Proof-of-Work (PoW) is the first consensus mechanism introduced in the world of blockchain. Bitcoin works on PoW only, and then Ethereum has introduced a Proof-of-Stake (PoS) mechanism. However, comparing the existing algorithms, many have deemed that Proof-of-Time is a more fairer and greener alternative mechanism.
Although the mechanism behind Chia is considered green, it has a different impact. Following the growing interest, miners are seeking to stock up high-performance SSDs. Indeed, stocking up SSDs is likely to have a more adverse effect on the supply of SSDs that will ultimately push the prices of the disk.
