The present invention generally provides a method for grid storage including balancing read and write requests from applications across a first group of nodes in a grid storage system for avoiding hot spots and optimizing performance through smart caching; balancing storage capacity across a second group of nodes in the grid storage system, nodes in the first and second groups being at least one of hardware interchangeable online, capable of being added to change performance or capacity of the grid storage system and capable of being removed to change performance or capacity of the grid storage system; and self managing of the first and second groups of nodes for providing at least one of scalability, self healing after failure of components in the grid storage, non-disruptive upgrades to the grid storage system, and eliminating duplicate data on an object or sub-object level in the grid storage system.