It's still a typo. What you wrote in the top post was correct, but now it's wrong: rootnoveri(t)y should be rootnoveri(f)y.
Now it's clearer: Accessing files on the USB flash drive causes a system crash. At this time, we can't say that accessing any file on the USB flash drive will definitely cause a system crash, but we can be certain that accessing some files will cause a system crash. You can record which files cause a system crash, then use the quit command to return to DOS, and in DOS use a certain tool (such as EDIT) to open the same file, and remember to read to the end of the file to see if the same system crash occurs. If a system crash also occurs under DOS, then it can be confirmed that it's a BIOS bug, and there's no doubt about it. If these files are opened smoothly under DOS and the results are all correct, then it means there's some unknown problem between GRUB and the BIOS of the USB flash drive, and we still have hope to continue tracking the real reason.
But now I seem to have discovered some problems. The description is as follows:
1. From the output result of geometry (fd0) being C/H/S=80/2/18 and the total number of sectors being 2880, it can be seen that the capacity of this (fd0) is the capacity of a standard 1.44M floppy disk. However, your diskedit.img file is actually in this floppy disk, and I guess this IMG file is also 1.44M in size. This is contradictory! It's impossible to fit a 1.44M IMG file (and many other files) in a 1.44M floppy disk.
2. From the first sector you cat out, it's found that H=255, S=63, the total number of sectors=127937, and C=127937/255/63=7.9637 (rounded up, equal to 8). So its geometry parameters are C/H/S=8/255/63, and the total capacity is close to 64M. Therefore, this disk can certainly hold the 1.44M IMG. But the problem is that the BIOS's INT13 disk interface accesses this disk with C/H/S=80/2/18, and can only access 2880 sectors at most, that is, the first 1.44M of content. If part of the file is in the position after 1.44M, it may cause a system crash (the system crash itself is a BIOS bug, because you can read incorrectly or return an error number, but it shouldn't cause a system crash).
From the above analysis, it can be assumed that if this partition on your USB flash drive is only 1.44M in size (precisely, 2880 sectors), then you will no longer encounter any problems. You can re-partition your USB flash drive to confirm this assumption. In a word, it all comes down to the defect of the BIOS. If the BIOS allows reading floppy disks larger than 1.44M, there won't be such problems. You can reflect this requirement to the motherboard manufacturer, asking them not to limit the boot capacity of the USB flash drive and not to let the USB flash drive crash, truly thinking about users.
Although your confirmation hasn't been received yet, the situation should be like this.
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