Hard disk stocks jump 20% over the week amid the hype around a new mining type fueled by chia (XCH) cryptocurrency.
May 18, 2021, | AtoZ Markets – The excitement around the “green bitcoin” pharma has inflated the shares of hard drive companies. At the time of this writing, the value of Seagate Technology PLC (STX) and Western Digital Corporation (WDC) shares increased by an average of 6.3% per day. At the same time, in the weekly interval, the share price increased by 21.5% on average.
Seagate shares jumped to $104.42 and Western Digital jumped to $76.42. Hard drive maker stocks rally amid listing of digital coin chia (XCH) on cryptocurrency exchanges. The price of the token recovered after the collapse to a low of $585.
At the time of writing, the XCH can be purchased for $1,365. The market capitalization of the ecosystem has grown to $790 million. It is noteworthy that the hype around XCH does not subside, even though it is detrimental to hard drives. According to a report, Fast Technology researchers found that active XCH farming reduces the lifespan of a 512GB SSD to just 40-50 days. A hard drive with a memory capacity of 1 TB can hold out for the mining of cryptocurrency for about three months.
Companies invest millions in green bitcoin farming
What’s more, it’s not just retail miners that connect to XCH farming. Earlier it became known that the Shanghai company The9 has invested $5.7 million in the production of XCH. With the purchased hardware, The9 will receive about 130 pebytes of disk space. However, it remains unknown who will be the hardware supplier.
As a reminder, XCH mining is based on hard drives. To start mining, you need a hard disk with a volume of at least 1 TB. At the same time, over time, the volume requirements for cryptocurrency farming will increase.
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