Since I have the time, I will type my insight on Chips vs Flashed Drives.
First off, I will say that I personally prefer chips. I actually like the idea of soldering, because its a skill of mine, but I also like the idea of knowing exactly what is going into my 360. What I dont like about flashing is all the things I read about that go wrong. Every single day there are many numerous posts about flashing errors and bricked drives. It seems the only way to guarantee no errors is to buy an external flasher such as Xeno Top Gear, USB360, ect. but the problem is those things cost MORE than chips do! You can purchase an NMEv1.2 for as low as $38 shipped, and a Xeno isn't much more (just search on google), whereas other flashers will cost upwards of $50 to $60 or more!
Now I know that there have been errors also with people using chips, but that is due to some faulty designs and/or bad soldering job. When purchasing a chip, just buy from a trusted company such as Xeno, but to clear things up the NME v1.2 chips are working good and even the malfunctioning ones can be fixed in a matter of seconds (just remove a coil and bridge with solder). Any other errors are due to people who dont know how to solder, didnt use the right wire (I used 30awg), and a whole list of other problems that all boils down to simply not planning out the install and soldering job. Its not hard at all, seriously. The last Xeno install I did only took 1 hour, and that includes opening the case, measuring and stripping the wires, soldering the wires, insulating them, and closing everything back up. Id like to point out here too that some people are scared off from installing chips because of the epoxy that is on the boards. I can confirm to you that it is very easy to remove. Seriously, even just using a sharp knife will quickly scrape away the glue, and surprisingly, the newer black epoxy is actually EASIER to remove!
Id like to now write about exactly why I personally chose to go with chips from the beginning. Flashing was not an easy process in the beginning as far as the needed hardware goes. SATA cards were not supported until later, so unless you had a motherboard with a true SATA port or new someone with one, you were out of luck. So to modchips it was. And it turned out to be fun actually. The whole process was easy to install, and everything worked perfectly. I was also greatly discouraged by the vast number of people who bricked there drives even when they seemingly did everything correct, and that still happens today! Also, in the beginning, the chips were seemingly safer when the first wave of errors and bans came, as no one with an NME or Xeno got banned or had errors, only those with firmware flashes! The chips dont touch your original firmware, thats another thing I like about them, and they can also be powered off completely with a simple switch installed.
Now, as far as which will get you banned quicker, that is honestly up in the air. I haven't been banned and have had my Xeno for many months. Other have, and other haven't also. I would think that firmwares are easier to detect though, but the latest iXtreme seems to be working great. Chips are detected a whole nother way tho, and that is a topic a little too broad for me to start here and now. Just know this, sooner or later, everyone will be banned. I dont play on live a lot, but that in no way decreases my chances of being banned, because it has been found that MS is logging offline play.
This post will be continued later, I am tired lol