I have two kits of ballistix 8500 here and both work flawlessly, posts fine at stock, overclocks like a monster. If you kit is old or has been used in a 680i mobo I would take a guess and say it's suffering from electron migration or is damaged.
Yes there with be noticable performance drops using the second PCI-e slot, as it only runs at 4x speed maximum(after switching in bios).
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