1. A method of managing data blocks in a secure storage appliance, the method comprising: receiving a block of data associated with a volume, the volume associated with a plurality of shares stored on a plurality of physical storage devices; storing the block of data in a buffer; associating the buffer corresponding to a status of the block of data; processing the block of data by performing at least one cryptographic operation on the block of data; and upon completion of processing the block of data, updating the state of the block of data.