A two spin system for example has the general state
a |DD> + b |DU> + c |UD> + d |UU>
requiring four complex amplitudes, not two bits only selecting one of the basis states.EDIT: Could not resist. The storage density of a 15 mm thick 2 TB 2.5" hard disk is 152.7 Ebit/m³. With the number from above this yields 2 * 10^27 ly³ for the volume which is not to far from the visible universe with 4 * 10^32 ly³ according to Wikipedia. Okay, it is a factor of 200,000 but that will only buy you 17 more bits plus some space for cable routing.