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Yep. The dashboard has been hacked to allow that.
If you want to use it as an external drive, you'll need to format it as FAT32. Windows (which I'm assuming you're using) doesn't allow formatting such large partitions using FAT32, so you'll need to do it via the command prompt or use a third-party program. If you want to format via command prompt, the command is format drive /fs:fat32 where drive is the letter of your external. The drive won't function identically as compared to an internal drive, but it will be usable.
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