[TOOL/UTILITY][TWRP][3.2][RECOVERY] TWRP 3.2.2-0 TeamWin Recovery Project | Page 54

When you wipe any partition that is a filesystem, it gets formatted as a new filesystem. During this process, bad blocks can get flagged as not to be used.
When you wipe data, it retains all files except /data/media, so not a true format. The only way to format /data (and go through the new filesystem creation) is to use the Format Data button in the Wipe page.

There is never a need to wipe (format) boot, recovery or any other ramdisk based filesystems, because the partition information is always written bit by bit raw to the partition.

So in most cases, wipe means format and recreate new filesystem, except for data.

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