Hardware problems can cause blue screen errors, but a software crash is not going to damage hardware. My my old computer would have long since burst into flames if that were the case (the reset button on the front bezel broke long ago, and I have to jab something in the hole to hit the reset switch on the case itself). Between Windows problems (Win95/98/XP), regular software problems, beta testing, bad/flaky hardware, etc, I've had lots of hard lockups and blue screen errors, without that causing any hardware problems. I did have a video card die on me once, but that was because it found out the warranty had expired 3 months previous, not because the computer had been crashing or even had the video being stressed.