Yesterday, we reported that the newly introduced cryptocurrency ChiaCoin hasn’t impacted the sales (and pricing) of HDDs as initially anticipated. While that is true, and prices of high-performance HDDs have more or less returned to normal, the SSD market is seeing similar trends. Unlike Bitcoin and Ethereum, ChiaCoin requires a lot of storage, the faster the better. This makes SSDs ideal for the job. However, it’s important to remember that, unlike mechanical storage, SSDs have a limited read/write capacity which is significantly worse with newer QLC drives which are cheaper but have reduced durability.
As per ADATA chairman, Simon Chen, as a result of the mining boom, the company’s 4-month orders for high-capacity SSD orders increased 4-5 fold in March. The primary reason is the new cryptocurrency that loves fast, high-capacity storage. At the same time, it’s essential to remember that Chen specifically mentioned high-capacity SSDs which are generally sold in much lower volumes in the consumer market and tend to stay more relevant in the data center market. This indicates that standard 500GB to 1TB SSDs aren’t affected as much and the 4-5x increase may not be as large due to the niche nature of the high-capacity SSD market.
Therefore, we don’t recommend any hurried buying or stock-piling of SSDs or HDDs. In the end, it’s just computer hardware we’re talking about here, not life-saving commodities.