Is the rise in memory and hard drive prices driving the explosion of on-chain storage sector?

First, the answer: from a correlation perspective, while it’s not entirely unrelated, the correlation might not exceed 1%.

The main reasons for the price increases in memory and hard drives are:

First, this is a typical AI data center capital expenditure cycle.

Whether it’s DRAM, HBM, or enterprise-level HDDs, they fundamentally serve the expansion of computing infrastructure. AI training and inference not only consume VRAM but also require computing power, memory, storage, electricity, and network—it's a complete system, not a single demand.

Second, the demand is real, not conceptual.

Data centers require high-frequency, stable, predictable read/write performance, and extremely low unit storage costs. The price increases in memory and hard drives reflect real orders, real procurement, and real delivery cycle changes, not emotions or expectations.

Third, supply is contracting but not in shortage.

Whether it’s memory or HDDs, the current price rise shares a common feature: after experiencing a prolonged price war, manufacturers have chosen to control output, raise prices, and focus more on high-end and enterprise markets, prioritizing cash flow and gross margins. This means that the price sensitivity to demand changes is amplified.

On the other hand, on-chain storage is completely the opposite.

First, on-chain storage does not serve the computing system but the consensus system.

AI data requires massive real computing power, not consensus. Describing large-scale data with consensus is fundamentally a misunderstanding in engineering and economics.

Second, on-chain storage addresses trustworthiness, not scale.

In the real world, 99% of storage needs do not require full network replication, immutability, or decentralized arbitration. They need to be cheap, stable, controllable, and accountable.

Third, price increases will not transmit to on-chain.

Rising memory and hard drive prices will only lead data centers to emphasize hot/cold data separation, further engineering and scaling storage architecture, and becoming more sensitive to costs and efficiency. It will not cause enterprises to suddenly accept a higher-cost, lower-performance, and unclear-responsibility on-chain solution.

Therefore, they are not on the same demand curve nor within the same capital expenditure logic. If you insist on finding a relationship, it’s more about emotional “riding the narrative” rather than structural “real benefit.”

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