diff --git a/cmd/background-newdisks-heal-ops.go b/cmd/background-newdisks-heal-ops.go
index 249dc467c..8c9adaceb 100644
--- a/cmd/background-newdisks-heal-ops.go
+++ b/cmd/background-newdisks-heal-ops.go
@@ -376,7 +376,7 @@ func getLocalDisksToHeal() (disksToHeal Endpoints) {
 var newDiskHealingTimeout = newDynamicTimeout(30*time.Second, 10*time.Second)
 
 func healFreshDisk(ctx context.Context, z *erasureServerPools, endpoint Endpoint) error {
-	disk, format, err := connectEndpoint(endpoint)
+	disk, format, _, err := connectEndpoint(endpoint)
 	if err != nil {
 		return fmt.Errorf("Error: %w, %s", err, endpoint)
 	}
diff --git a/cmd/erasure-sets.go b/cmd/erasure-sets.go
index ea4f2efb7..36a37ca08 100644
--- a/cmd/erasure-sets.go
+++ b/cmd/erasure-sets.go
@@ -114,26 +114,26 @@ func (s *erasureSets) getDiskMap() map[Endpoint]StorageAPI {
 
 // Initializes a new StorageAPI from the endpoint argument, returns
 // StorageAPI and also `format` which exists on the disk.
-func connectEndpoint(endpoint Endpoint) (StorageAPI, *formatErasureV3, error) {
+func connectEndpoint(endpoint Endpoint) (StorageAPI, *formatErasureV3, []byte, error) {
 	disk, err := newStorageAPI(endpoint, storageOpts{
 		cleanUp:     false,
 		healthCheck: false,
 	})
 	if err != nil {
-		return nil, nil, err
+		return nil, nil, nil, err
 	}
 
-	format, err := loadFormatErasure(disk)
+	format, formatData, err := loadFormatErasureWithData(disk)
 	if err != nil {
 		if errors.Is(err, errUnformattedDisk) {
 			info, derr := disk.DiskInfo(context.TODO(), false)
 			if derr != nil && info.RootDisk {
 				disk.Close()
-				return nil, nil, fmt.Errorf("Drive: %s is a root drive", disk)
+				return nil, nil, nil, fmt.Errorf("Drive: %s is a root drive", disk)
 			}
 		}
 		disk.Close()
-		return nil, nil, fmt.Errorf("Drive: %s returned %w", disk, err) // make sure to '%w' to wrap the error
+		return nil, nil, nil, fmt.Errorf("Drive: %s returned %w", disk, err) // make sure to '%w' to wrap the error
 	}
 
 	disk.Close()
@@ -142,10 +142,10 @@ func connectEndpoint(endpoint Endpoint) (StorageAPI, *formatErasureV3, error) {
 		healthCheck: true,
 	})
 	if err != nil {
-		return nil, nil, err
+		return nil, nil, nil, err
 	}
 
-	return disk, format, nil
+	return disk, format, formatData, nil
 }
 
 // findDiskIndex - returns the i,j'th position of the input `diskID` against the reference
@@ -226,7 +226,7 @@ func (s *erasureSets) connectDisks() {
 		wg.Add(1)
 		go func(endpoint Endpoint) {
 			defer wg.Done()
-			disk, format, err := connectEndpoint(endpoint)
+			disk, format, formatData, err := connectEndpoint(endpoint)
 			if err != nil {
 				if endpoint.IsLocal && errors.Is(err, errUnformattedDisk) {
 					globalBackgroundHealState.pushHealLocalDisks(endpoint)
@@ -261,6 +261,7 @@ func (s *erasureSets) connectDisks() {
 
 			disk.SetDiskID(format.Erasure.This)
 			disk.SetDiskLoc(s.poolIndex, setIndex, diskIndex)
+			disk.SetFormatData(formatData)
 			s.erasureDisks[setIndex][diskIndex] = disk
 			s.erasureDisksMu.Unlock()
 
@@ -1065,7 +1066,7 @@ func markRootDisksAsDown(storageDisks []StorageAPI, errs []error) {
 // HealFormat - heals missing `format.json` on fresh unformatted disks.
 func (s *erasureSets) HealFormat(ctx context.Context, dryRun bool) (res madmin.HealResultItem, err error) {
 	storageDisks, _ := initStorageDisksWithErrors(s.endpoints.Endpoints, storageOpts{
-		cleanUp:     true,
+		cleanUp:     false,
 		healthCheck: false,
 	})
 
diff --git a/cmd/format-erasure.go b/cmd/format-erasure.go
index 74dbc6363..7c902b847 100644
--- a/cmd/format-erasure.go
+++ b/cmd/format-erasure.go
@@ -325,7 +325,7 @@ func loadFormatErasureAll(storageDisks []StorageAPI, heal bool) ([]*formatErasur
 			if storageDisks[index] == nil {
 				return errDiskNotFound
 			}
-			format, err := loadFormatErasure(storageDisks[index])
+			format, formatData, err := loadFormatErasureWithData(storageDisks[index])
 			if err != nil {
 				return err
 			}
@@ -339,6 +339,7 @@ func loadFormatErasureAll(storageDisks []StorageAPI, heal bool) ([]*formatErasur
 				// If no healing required, make the disks valid and
 				// online.
 				storageDisks[index].SetDiskID(format.Erasure.This)
+				storageDisks[index].SetFormatData(formatData)
 			}
 			return nil
 		}, index)
@@ -354,7 +355,7 @@ func saveFormatErasure(disk StorageAPI, format *formatErasureV3, healID string)
 	}
 
 	// Marshal and write to disk.
-	formatBytes, err := json.Marshal(format)
+	formatData, err := json.Marshal(format)
 	if err != nil {
 		return err
 	}
@@ -368,7 +369,7 @@ func saveFormatErasure(disk StorageAPI, format *formatErasureV3, healID string)
 	})
 
 	// write to unique file.
-	if err = disk.WriteAll(context.TODO(), minioMetaBucket, tmpFormat, formatBytes); err != nil {
+	if err = disk.WriteAll(context.TODO(), minioMetaBucket, tmpFormat, formatData); err != nil {
 		return err
 	}
 
@@ -378,6 +379,7 @@ func saveFormatErasure(disk StorageAPI, format *formatErasureV3, healID string)
 	}
 
 	disk.SetDiskID(format.Erasure.This)
+	disk.SetFormatData(formatData)
 	if healID != "" {
 		ctx := context.Background()
 		ht := initHealingTracker(disk, healID)
@@ -386,6 +388,35 @@ func saveFormatErasure(disk StorageAPI, format *formatErasureV3, healID string)
 	return nil
 }
 
+// loadFormatErasureWithData - loads format.json from disk.
+func loadFormatErasureWithData(disk StorageAPI) (format *formatErasureV3, data []byte, err error) {
+	// Ensure that the grid is online.
+	if _, err := disk.DiskInfo(context.Background(), false); err != nil {
+		if errors.Is(err, errDiskNotFound) {
+			return nil, nil, err
+		}
+	}
+
+	data, err = disk.ReadAll(context.TODO(), minioMetaBucket, formatConfigFile)
+	if err != nil {
+		// 'file not found' and 'volume not found' as
+		// same. 'volume not found' usually means its a fresh disk.
+		if errors.Is(err, errFileNotFound) || errors.Is(err, errVolumeNotFound) {
+			return nil, nil, errUnformattedDisk
+		}
+		return nil, nil, err
+	}
+
+	// Try to decode format json into formatConfigV1 struct.
+	format = &formatErasureV3{}
+	if err = json.Unmarshal(data, format); err != nil {
+		return nil, nil, err
+	}
+
+	// Success.
+	return format, data, nil
+}
+
 // loadFormatErasure - loads format.json from disk.
 func loadFormatErasure(disk StorageAPI) (format *formatErasureV3, err error) {
 	// Ensure that the grid is online.
@@ -480,9 +511,7 @@ func formatErasureGetDeploymentID(refFormat *formatErasureV3, formats []*formatE
 }
 
 // formatErasureFixDeploymentID - Add deployment id if it is not present.
-func formatErasureFixDeploymentID(endpoints Endpoints, storageDisks []StorageAPI, refFormat *formatErasureV3) (err error) {
-	// Attempt to load all `format.json` from all disks.
-	formats, _ := loadFormatErasureAll(storageDisks, false)
+func formatErasureFixDeploymentID(endpoints Endpoints, storageDisks []StorageAPI, refFormat *formatErasureV3, formats []*formatErasureV3) (err error) {
 	for index := range formats {
 		// If the Erasure sets do not match, set those formats to nil,
 		// We do not have to update the ID on those format.json file.
diff --git a/cmd/naughty-disk_test.go b/cmd/naughty-disk_test.go
index ecb48a523..e6d26b757 100644
--- a/cmd/naughty-disk_test.go
+++ b/cmd/naughty-disk_test.go
@@ -108,6 +108,10 @@ func (d *naughtyDisk) GetDiskID() (string, error) {
 	return d.disk.GetDiskID()
 }
 
+func (d *naughtyDisk) SetFormatData(b []byte) {
+	d.disk.SetFormatData(b)
+}
+
 func (d *naughtyDisk) SetDiskID(id string) {
 	d.disk.SetDiskID(id)
 }
diff --git a/cmd/peer-s3-server.go b/cmd/peer-s3-server.go
index f292e042f..9f3a210c5 100644
--- a/cmd/peer-s3-server.go
+++ b/cmd/peer-s3-server.go
@@ -83,21 +83,21 @@ func (s *peerS3Server) HealthHandler(w http.ResponseWriter, r *http.Request) {
 
 func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (res madmin.HealResultItem, err error) {
 	globalLocalDrivesMu.RLock()
-	globalLocalDrives := globalLocalDrives
+	localDrives := globalLocalDrives
 	globalLocalDrivesMu.RUnlock()
 
 	// Initialize sync waitgroup.
-	g := errgroup.WithNErrs(len(globalLocalDrives))
+	g := errgroup.WithNErrs(len(localDrives))
 
 	// Disk states slices
-	beforeState := make([]string, len(globalLocalDrives))
-	afterState := make([]string, len(globalLocalDrives))
+	beforeState := make([]string, len(localDrives))
+	afterState := make([]string, len(localDrives))
 
 	// Make a volume entry on all underlying storage disks.
-	for index := range globalLocalDrives {
+	for index := range localDrives {
 		index := index
 		g.Go(func() (serr error) {
-			if globalLocalDrives[index] == nil {
+			if localDrives[index] == nil {
 				beforeState[index] = madmin.DriveStateOffline
 				afterState[index] = madmin.DriveStateOffline
 				return errDiskNotFound
@@ -110,7 +110,7 @@ func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (
 				return nil
 			}
 
-			_, serr = globalLocalDrives[index].StatVol(ctx, bucket)
+			_, serr = localDrives[index].StatVol(ctx, bucket)
 			if serr != nil {
 				if serr == errDiskNotFound {
 					beforeState[index] = madmin.DriveStateOffline
@@ -138,7 +138,7 @@ func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (
 	res = madmin.HealResultItem{
 		Type:      madmin.HealItemBucket,
 		Bucket:    bucket,
-		DiskCount: len(globalLocalDrives),
+		DiskCount: len(localDrives),
 		SetCount:  -1, // explicitly set an invalid value -1, for bucket heal scenario
 	}
 
@@ -150,24 +150,24 @@ func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (
 	for i := range beforeState {
 		res.Before.Drives = append(res.Before.Drives, madmin.HealDriveInfo{
 			UUID:     "",
-			Endpoint: globalLocalDrives[i].String(),
+			Endpoint: localDrives[i].String(),
 			State:    beforeState[i],
 		})
 	}
 
 	// check dangling and delete bucket only if its not a meta bucket
 	if !isMinioMetaBucketName(bucket) && !isAllBucketsNotFound(errs) && opts.Remove {
-		g := errgroup.WithNErrs(len(globalLocalDrives))
-		for index := range globalLocalDrives {
+		g := errgroup.WithNErrs(len(localDrives))
+		for index := range localDrives {
 			index := index
 			g.Go(func() error {
-				if globalLocalDrives[index] == nil {
+				if localDrives[index] == nil {
 					return errDiskNotFound
 				}
-				err := globalLocalDrives[index].DeleteVol(ctx, bucket, false)
+				err := localDrives[index].DeleteVol(ctx, bucket, false)
 				if !errors.Is(err, errVolumeNotEmpty) {
 					logger.LogOnceIf(ctx, fmt.Errorf("While deleting dangling Bucket (%s), Drive %s:%s returned an error (%w)",
-						bucket, globalLocalDrives[index].Hostname(), globalLocalDrives[index], err), "delete-dangling-bucket-"+bucket)
+						bucket, localDrives[index].Hostname(), localDrives[index], err), "delete-dangling-bucket-"+bucket)
 				}
 				return nil
 			}, index)
@@ -179,14 +179,14 @@ func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (
 	// Create the quorum lost volume only if its nor makred for delete
 	if !opts.Remove {
 		// Initialize sync waitgroup.
-		g = errgroup.WithNErrs(len(globalLocalDrives))
+		g = errgroup.WithNErrs(len(localDrives))
 
 		// Make a volume entry on all underlying storage disks.
-		for index := range globalLocalDrives {
+		for index := range localDrives {
 			index := index
 			g.Go(func() error {
 				if beforeState[index] == madmin.DriveStateMissing {
-					makeErr := globalLocalDrives[index].MakeVol(ctx, bucket)
+					makeErr := localDrives[index].MakeVol(ctx, bucket)
 					if makeErr == nil {
 						afterState[index] = madmin.DriveStateOk
 					}
@@ -202,7 +202,7 @@ func healBucketLocal(ctx context.Context, bucket string, opts madmin.HealOpts) (
 	for i := range afterState {
 		res.After.Drives = append(res.After.Drives, madmin.HealDriveInfo{
 			UUID:     "",
-			Endpoint: globalLocalDrives[i].String(),
+			Endpoint: localDrives[i].String(),
 			State:    afterState[i],
 		})
 	}
diff --git a/cmd/prepare-storage.go b/cmd/prepare-storage.go
index da37e9c4c..c1a428707 100644
--- a/cmd/prepare-storage.go
+++ b/cmd/prepare-storage.go
@@ -260,7 +260,7 @@ func connectLoadInitFormats(verboseLogging bool, firstDisk bool, endpoints Endpo
 		if !firstDisk {
 			return nil, nil, errNotFirstDisk
 		}
-		if err = formatErasureFixDeploymentID(endpoints, storageDisks, format); err != nil {
+		if err = formatErasureFixDeploymentID(endpoints, storageDisks, format, formatConfigs); err != nil {
 			logger.LogIf(GlobalContext, err)
 			return nil, nil, err
 		}
diff --git a/cmd/storage-interface.go b/cmd/storage-interface.go
index 8c3478519..29ea2d8e2 100644
--- a/cmd/storage-interface.go
+++ b/cmd/storage-interface.go
@@ -109,6 +109,7 @@ type StorageAPI interface {
 	ReadAll(ctx context.Context, volume string, path string) (buf []byte, err error)
 	GetDiskLoc() (poolIdx, setIdx, diskIdx int) // Retrieve location indexes.
 	SetDiskLoc(poolIdx, setIdx, diskIdx int)    // Set location indexes.
+	SetFormatData(b []byte)                     // Set formatData cached value
 }
 
 type unrecognizedDisk struct {
@@ -151,6 +152,9 @@ func (p *unrecognizedDisk) NSScanner(ctx context.Context, cache dataUsageCache,
 	return dataUsageCache{}, errDiskNotFound
 }
 
+func (p *unrecognizedDisk) SetFormatData(b []byte) {
+}
+
 func (p *unrecognizedDisk) GetDiskLoc() (poolIdx, setIdx, diskIdx int) {
 	return -1, -1, -1
 }
diff --git a/cmd/storage-rest-client.go b/cmd/storage-rest-client.go
index bbbb24469..71c346141 100644
--- a/cmd/storage-rest-client.go
+++ b/cmd/storage-rest-client.go
@@ -144,10 +144,12 @@ type storageRESTClient struct {
 	// Indicate of NSScanner is in progress in this disk
 	scanning int32
 
-	endpoint   Endpoint
-	restClient *rest.Client
-	gridConn   *grid.Subroute
-	diskID     string
+	endpoint    Endpoint
+	restClient  *rest.Client
+	gridConn    *grid.Subroute
+	diskID      string
+	formatData  []byte
+	formatMutex sync.RWMutex
 
 	// Indexes, will be -1 until assigned a set.
 	poolIndex, setIndex, diskIndex int
@@ -251,7 +253,24 @@ func (client *storageRESTClient) NSScanner(ctx context.Context, cache dataUsageC
 	return *final, nil
 }
 
+func (client *storageRESTClient) SetFormatData(b []byte) {
+	if client.IsOnline() {
+		client.formatMutex.Lock()
+		client.formatData = b
+		client.formatMutex.Unlock()
+	}
+}
+
 func (client *storageRESTClient) GetDiskID() (string, error) {
+	if !client.IsOnline() {
+		// make sure to check if the disk is offline, since the underlying
+		// value is cached we should attempt to invalidate it if such calls
+		// were attempted. This can lead to false success under certain conditions
+		// - this change attempts to avoid stale information if the underlying
+		// transport is already down.
+		return "", errDiskNotFound
+	}
+
 	// This call should never be over the network, this is always
 	// a cached value - caller should make sure to use this
 	// function on a fresh disk or make sure to look at the error
@@ -523,6 +542,19 @@ func (client *storageRESTClient) ReadAll(ctx context.Context, volume string, pat
 	values := make(url.Values)
 	values.Set(storageRESTVolume, volume)
 	values.Set(storageRESTFilePath, path)
+
+	// Specific optimization to avoid re-read from the drives for `format.json`
+	// in-case the caller is a network operation.
+	if volume == minioMetaBucket && path == formatConfigFile {
+		client.formatMutex.RLock()
+		formatData := make([]byte, len(client.formatData))
+		copy(formatData, client.formatData)
+		client.formatMutex.RUnlock()
+		if len(formatData) > 0 {
+			return formatData, nil
+		}
+	}
+
 	respBody, err := client.call(ctx, storageRESTMethodReadAll, values, nil, -1)
 	if err != nil {
 		return nil, err
diff --git a/cmd/storage-rest-server.go b/cmd/storage-rest-server.go
index dafa4df92..5ed8493a8 100644
--- a/cmd/storage-rest-server.go
+++ b/cmd/storage-rest-server.go
@@ -1390,6 +1390,8 @@ func registerStorageRESTHandlers(router *mux.Router, endpointServerPools Endpoin
 				}
 				storage := newXLStorageDiskIDCheck(xl, true)
 				storage.SetDiskID(xl.diskID)
+				// We do not have to do SetFormatData() since 'xl'
+				// already captures formatData cached.
 
 				globalLocalDrivesMu.Lock()
 				defer globalLocalDrivesMu.Unlock()
diff --git a/cmd/xl-storage-disk-id-check.go b/cmd/xl-storage-disk-id-check.go
index d26af3483..802a3c3cb 100644
--- a/cmd/xl-storage-disk-id-check.go
+++ b/cmd/xl-storage-disk-id-check.go
@@ -100,7 +100,7 @@ type xlStorageDiskIDCheck struct {
 
 	metricsCache timedValue
 	diskCtx      context.Context
-	cancel       context.CancelFunc
+	diskCancel   context.CancelFunc
 }
 
 func (p *xlStorageDiskIDCheck) getMetrics() DiskMetrics {
@@ -235,7 +235,7 @@ func newXLStorageDiskIDCheck(storage *xlStorage, healthCheck bool) *xlStorageDis
 		xl.totalDeletes.Store(xl.storage.getDeleteAttribute())
 	}
 
-	xl.diskCtx, xl.cancel = context.WithCancel(context.TODO())
+	xl.diskCtx, xl.diskCancel = context.WithCancel(context.TODO())
 	for i := range xl.apiLatencies[:] {
 		xl.apiLatencies[i] = &lockedLastMinuteLatency{}
 	}
@@ -295,6 +295,10 @@ func (p *xlStorageDiskIDCheck) NSScanner(ctx context.Context, cache dataUsageCac
 	return p.storage.NSScanner(ctx, cache, updates, scanMode, weSleep)
 }
 
+func (p *xlStorageDiskIDCheck) SetFormatData(b []byte) {
+	p.storage.SetFormatData(b)
+}
+
 func (p *xlStorageDiskIDCheck) GetDiskLoc() (poolIdx, setIdx, diskIdx int) {
 	return p.storage.GetDiskLoc()
 }
@@ -304,7 +308,7 @@ func (p *xlStorageDiskIDCheck) SetDiskLoc(poolIdx, setIdx, diskIdx int) {
 }
 
 func (p *xlStorageDiskIDCheck) Close() error {
-	p.cancel()
+	p.diskCancel()
 	return p.storage.Close()
 }
 
diff --git a/cmd/xl-storage.go b/cmd/xl-storage.go
index 05792d2d3..a89afd0c9 100644
--- a/cmd/xl-storage.go
+++ b/cmd/xl-storage.go
@@ -372,8 +372,6 @@ func (s *xlStorage) IsLocal() bool {
 
 // Retrieve location indexes.
 func (s *xlStorage) GetDiskLoc() (poolIdx, setIdx, diskIdx int) {
-	s.RLock()
-	defer s.RUnlock()
 	// If unset, see if we can locate it.
 	if s.poolIndex < 0 || s.setIndex < 0 || s.diskIndex < 0 {
 		return getXLDiskLoc(s.diskID)
@@ -381,6 +379,12 @@ func (s *xlStorage) GetDiskLoc() (poolIdx, setIdx, diskIdx int) {
 	return s.poolIndex, s.setIndex, s.diskIndex
 }
 
+func (s *xlStorage) SetFormatData(b []byte) {
+	s.Lock()
+	defer s.Unlock()
+	s.formatData = b
+}
+
 // Set location indexes.
 func (s *xlStorage) SetDiskLoc(poolIdx, setIdx, diskIdx int) {
 	s.poolIndex = poolIdx