What is the world coming to! If you thought the graphics card situation was bad, wait till you get a load of this new project that goes by as Chia that is leading to another hardware shortage.
Yes, the popular torrenting application.
The Chia cryptocurrency has significant hype behind it ahead of launch, seeing as Cohen is behind it. And instead of more familiar consensus algorithms like Proof-of-Work, this new network leverages what is called Proof-of-Space — a model that relies on storage.
The team behind this new project believe that their project can allow anyone the ability to verify transactions without being dependent on a single use hardware or a big electricity bill. You know, what is the norm on other crypto and blockchain projects like Bitcoin and Ethereum.
According to the white paper, the Chia project saw daylight in February 2021, and the mainnet launched on March 19. Tokens from this new network are set to start trading in a just a few days now, once transactions are fully enabled on May 3.
And with the transactional launch pending, the project has sparked shortages over the demand for hard drives and solid-state drives (SSDs).
As noted by the South China Morning Post (SCMP), there is a major shortage in China when it comes to hard drives and SSDs. Manufacturers are selling out quickly, and product prices have skyrocketed on secondary markets.
In particular, enterprise grade hard drives with large capacities have sold out, with prices on the secondary markets up to 40% to 50% higher than retail. Hard drives between 4TB and 18TB capacities are seeing the highest demand, for obvious reasons.
Remains to be seen whether the hype overflows to rest of the countries.
If it does, better hold on tight to them hard disks.
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