This article is based on a September 2017 post originally sourced from fxempire.com, covering the Cloud Token (CLD) ICO and the Cloudwith.me project. It is preserved here as a historical reference to early blockchain-based cloud computing initiatives.
Background: Why Decentralized Cloud Computing Attracted Attention in 2017
By 2017, cloud computing had become the default infrastructure model for businesses of all sizes. SMBs adopted cloud services to reduce capital expenditure on on-premises hardware, enable remote work, and improve disaster recovery. However, the cloud-hosting market had consolidated around a small number of dominant providers—AWS, Microsoft Azure, and Google Cloud—creating pricing pressure that locked out smaller businesses, particularly in emerging markets.
Against this backdrop, Cloudwith.me, a company headquartered in Dublin’s technology district, proposed using Ethereum-based blockchain technology to decentralize cloud infrastructure and make it economically accessible to a wider range of businesses and individuals. To fund that vision, the company issued a cryptocurrency called Cloud Token (CLD) through an Initial Coin Offering (ICO).
The Cloud Token White Paper described the cloud-hosting market as an oligopoly: a market dominated by a handful of major players where meaningful new entrants could not compete, leading to prices well above what a truly competitive market would sustain.
4 Reasons Cloud Token Generated Early Interest
1. A Practical Vision for Decentralized Cloud Services
Several blockchain projects had already targeted decentralized compute and storage by mid-2017—including Storj (decentralized storage), Golem (distributed computation), and iExec (decentralized cloud resources). Cloud Token’s differentiator, according to its founders, was accessibility: the project aimed to serve users without deep technical backgrounds, not just blockchain-native developers.
Cloudwith.me’s co-founder and CTO Asaf Zamir described the core goal as follows:
“The goal is to create a decentralized peer-to-peer cloud-based ecosystem that will enable millions of people globally to share, operate and get the financial benefits from any cloud service and application directly between them in a trusted and efficient manner; from music to social insurance and investment services, in a wholly secure and private environment. We call it the Crowd Cloud.”
Asaf Zamir, Co-founder and CTO, Cloudwith.me
Funds raised through the Cloud Token ICO were earmarked for building out a global GridNode infrastructure—the technical framework for the proposed Crowd Cloud.
The Ethereum blockchain was central to the compensation model: contributors who donated spare compute power would be paid automatically in Cloud Tokens via smart contracts, removing the need for a central billing or payments intermediary.
2. Earning Potential for Idle Compute Contributors
One of the project’s key economic propositions was that ordinary users could monetize idle computing capacity. While a device—laptop, desktop, or server—was not in active use, a locally installed GridNode client would contribute spare processing cycles to the decentralized cloud. Contributors would receive Cloud Tokens as compensation, which could then be spent on cloud services within the ecosystem or exchanged for other cryptocurrencies.
The project published a three-year roadmap structured around four phases, each named after a Beatle:
Ringo – Seeding (ICO + 0 months)
- Use Cloud Tokens to access selected cloud services at a 50% cost reduction
- Begin development of an open GridNode software component
- Establish community processes to define the Harrison phase requirements
Harrison – An Open Playground (ICO + 12 months)
- Anyone can become a GridNode owner and receive on-chain compensation
- Application owners can deploy experimental workloads to the open grid
- Launch of core services required to support an open, distributed grid
McCartney – A Dependable Grid (ICO + 24 months)
- Support for applications handling sensitive data with appropriate security controls
- Elastic compute, request routing, and content delivery to enable global application scaling
- Deployment of selected GridNodes as tamper-proof hardware appliances
Lennon – Expansion (ICO + 36 months)
- The decentralized grid targets mainstream cloud hosting use cases
- Widespread deployment of tamper-proof GridNode appliances leveraging Trusted Computing technologies
- Applications able to comply with domain-specific regulatory requirements
The roadmap projected a 94% cost reduction for cloud services at the 36-month mark, though this figure was a prediction rather than a measured outcome at the time of publication.
3. Immediate, Real-World Token Utility
Most ICOs in 2017 required investors to wait 12 to 36 months before tokens had any practical use, since project teams typically needed ICO proceeds to build an initial product. Cloud Token’s advantage was that Cloudwith.me was already an operating business: the company provided a platform that simplified cloud server procurement for SMBs, giving it an existing customer base and supplier relationships.
From the ICO close date, token holders could use CLD to purchase Amazon Web Services (AWS) and Microsoft Azure cloud services through the Cloudwith.me platform at a stated 50% discount. This created immediate demand for tokens before they were listed on exchanges, which the project planned for 21 September 2017.
The Cloud Token wallet also allowed holders to monitor exchange-rate value and trade tokens for Bitcoin, Ether, or USD—providing an exit path for investors not primarily interested in cloud services.
4. Credit Card and Wire Transfer Purchasing
Acquiring cryptocurrency in 2017 typically required users to already hold another cryptocurrency, navigate exchange KYC processes, and manage a software wallet—a barrier that excluded many potential investors. Cloud Token addressed this by accepting credit card payments and wire transfers for token purchases, which the project marketed as a first for an ICO.
This approach aligned with the broader accessibility goal: by removing the prerequisite of prior crypto ownership, Cloudwith.me attempted to reach a mainstream business audience rather than only the existing cryptocurrency community.
Technical Foundation: Ethereum and the GridNode Model
Cloud Token was issued as an Ethereum-based token, leveraging smart contracts for automated compensation when contributors supplied compute resources. The GridNode acted as the local agent: software installed on a contributing device that managed workload allocation, tracked resource contribution, and triggered token payments via the Ethereum network.
The Crowd Cloud model shared conceptual similarities with other distributed compute projects active at the time, but positioned itself as more operationally practical by tying token utility to real, existing cloud-service purchasing power rather than speculative future applications.
Historical Context
This article reflects the state of the Cloud Token project as of September 2017, immediately following the close of its ICO on 25 August 2017. The ICO and token-exchange listing dates cited here are historical. Readers researching the current status of Cloudwith.me or CLD tokens should consult up-to-date sources, as the ICO era of 2017–2018 saw significant variation in project outcomes.