diff --git a/ci/browser_tests.sh b/ci/browser_tests.sh
index 9bf3c38917..5b4c27ce40 100755
--- a/ci/browser_tests.sh
+++ b/ci/browser_tests.sh
@@ -3,7 +3,6 @@
 set -e
 
 setupRemixd () {
-  npm install remixd
   mkdir remixdSharedfolder
   cd remixdSharedfolder
   echo "contract test1 { function get () returns (uint) { return 8; }}" > contract1.sol
@@ -15,7 +14,7 @@ setupRemixd () {
   cd ..
   echo 'sharing folder: '
   echo $PWD
-  ./../node_modules/.bin/remixd -S $PWD &
+  node ../node_modules/remixd/src/main.js -s $PWD &
   cd ..
 }
 
diff --git a/package.json b/package.json
index 2909118ff4..acbbdc71ec 100644
--- a/package.json
+++ b/package.json
@@ -9,6 +9,7 @@
     "babel-plugin-transform-object-assign": "^6.22.0",
     "babel-plugin-yo-yoify": "^0.3.3",
     "babel-polyfill": "^6.22.0",
+    "babel-preset-env": "^1.6.1",
     "babel-preset-es2015": "^6.24.0",
     "babel-preset-stage-0": "^6.24.1",
     "babelify": "^7.3.0",
@@ -44,7 +45,7 @@
     "remix-debugger": "latest",
     "remix-lib": "latest",
     "remix-solidity": "latest",
-    "remixd": "^0.1.2",
+    "remixd": "git+https://github.com/ethereum/remixd.git",
     "rimraf": "^2.6.1",
     "selenium-standalone": "^6.0.1",
     "solc": "https://github.com/ethereum/solc-js",
@@ -155,12 +156,12 @@
     "nightwatch_remote_safari": "nightwatch --config nightwatch.js --env safari",
     "onchange": "onchange build/app.js -- npm-run-all lint",
     "prepublish": "mkdirp build; npm-run-all -ls downloadsolc build",
-    "remixd": "remixd -S ./contracts",
+    "remixd": "node ./node_modules/remixd/src/main.js -s ./contracts",
     "selenium": "execr --silent selenium-standalone start",
     "selenium-install": "selenium-standalone install",
     "serve": "execr --silent http-server .",
     "sourcemap": "exorcist --root ../ build/app.js.map > build/app.js",
-    "start": "npm-run-all -lpr serve watch onchange",
+    "start": "npm-run-all -lpr serve watch onchange remixd",
     "test": "npm run csslint; standard && node test/index.js",
     "test-browser": "npm-run-all -lpr selenium downloadsolc make-mock-compiler serve browsertest",
     "watch": "watchify src/index.js -dv -p browserify-reload -o build/app.js"
diff --git a/src/app.js b/src/app.js
index 22ff2aec10..f6dd0f8c3b 100644
--- a/src/app.js
+++ b/src/app.js
@@ -453,10 +453,15 @@ function run () {
   })
 
   // insert ballot contract if there are no files available
-  if (!loadingFromGist && Object.keys(filesProviders['browser'].list()).length === 0) {
-    if (!filesProviders['browser'].set(examples.ballot.name, examples.ballot.content)) {
-      modalDialogCustom.alert('Failed to store example contract in browser. Remix will not work properly. Please ensure Remix has access to LocalStorage. Safari in Private mode is known not to work.')
-    }
+  if (!loadingFromGist) {
+    filesProviders['browser'].resolveDirectory('', (error, filesList) => {
+      if (error) console.error(error)
+      if (Object.keys(filesList).length === 0) {
+        if (!filesProviders['browser'].set(examples.ballot.name, examples.ballot.content)) {
+          modalDialogCustom.alert('Failed to store example contract in browser. Remix will not work properly. Please ensure Remix has access to LocalStorage. Safari in Private mode is known not to work.')
+        }
+      }
+    })
   }
 
   window.syncStorage = chromeCloudStorageSync
diff --git a/src/app/compiler/compiler.js b/src/app/compiler/compiler.js
index f733e294b3..4082c5ee51 100644
--- a/src/app/compiler/compiler.js
+++ b/src/app/compiler/compiler.js
@@ -233,7 +233,7 @@ function Compiler (handleImportCall) {
 
     // Set a safe fallback until the new one is loaded
     setCompileJSON(function (source, optimize) {
-      compilationFinished({error: 'Compiler not yet loaded.'})
+      compilationFinished({ error: { formattedMessage: 'Compiler not yet loaded.' } })
     })
 
     var newScript = document.createElement('script')
diff --git a/src/app/files/basicReadOnlyExplorer.js b/src/app/files/basicReadOnlyExplorer.js
index 882b14cb5a..cbf54a2255 100644
--- a/src/app/files/basicReadOnlyExplorer.js
+++ b/src/app/files/basicReadOnlyExplorer.js
@@ -80,7 +80,8 @@ class BasicReadOnlyExplorer {
   //   }
   // }
   //
-  listAsTree () {
+  resolveDirectory (path, callback /* (error, filesList) => { } */) {
+    // path = '' + (path || '')
     function hashmapize (obj, path, val) {
       var nodes = path.split('/')
       var i = 0
@@ -107,7 +108,7 @@ class BasicReadOnlyExplorer {
         '/content': self.get(path)
       })
     })
-    return tree
+    callback(null, tree)
   }
 
   removePrefix (path) {
diff --git a/src/app/files/browser-files.js b/src/app/files/browser-files.js
index 4142d8df10..ecc42a083b 100644
--- a/src/app/files/browser-files.js
+++ b/src/app/files/browser-files.js
@@ -11,9 +11,7 @@ function Files (storage) {
   this.exists = function (path) {
     var unprefixedpath = this.removePrefix(path)
     // NOTE: ignore the config file
-    if (path === '.remix.config') {
-      return false
-    }
+    if (path === '.remix.config') return false
 
     return this.isReadOnly(unprefixedpath) || storage.exists(unprefixedpath)
   }
@@ -105,29 +103,6 @@ function Files (storage) {
     return false
   }
 
-  this.list = function () {
-    var files = {}
-
-    // add r/w files to the list
-    storage.keys().forEach((path) => {
-      // NOTE: as a temporary measure do not show the config file
-      if (path !== '.remix.config') {
-        files[this.type + '/' + path] = false
-      }
-    })
-
-    // add r/o files to the list
-    Object.keys(readonly).forEach((path) => {
-      files[this.type + '/' + path] = true
-    })
-
-    return files
-  }
-
-  this.removePrefix = function (path) {
-    return path.indexOf(this.type + '/') === 0 ? path.replace(this.type + '/', '') : path
-  }
-
   //
   // Tree model for files
   // {
@@ -140,11 +115,12 @@ function Files (storage) {
   //   }
   // }
   //
-  this.listAsTree = function () {
+  this.resolveDirectory = function (path, callback) {
+    var self = this
+    // path = '' + (path || '')
     function hashmapize (obj, path, val) {
       var nodes = path.split('/')
       var i = 0
-
       for (; i < nodes.length - 1; i++) {
         var node = nodes[i]
         if (obj[node] === undefined) {
@@ -152,22 +128,34 @@ function Files (storage) {
         }
         obj = obj[node]
       }
-
       obj[nodes[i]] = val
     }
-
+    var filesList = {}
+    // add r/w filesList to the list
+    storage.keys().forEach((path) => {
+      // NOTE: as a temporary measure do not show the config file
+      if (path !== '.remix.config') {
+        filesList[self.type + '/' + path] = false
+      }
+    })
+    // add r/o files to the list
+    Object.keys(readonly).forEach((path) => {
+      filesList[self.type + '/' + path] = true
+    })
     var tree = {}
-
-    var self = this
     // This does not include '.remix.config', because it is filtered
     // inside list().
-    Object.keys(this.list()).forEach(function (path) {
+    Object.keys(filesList).forEach(function (path) {
       hashmapize(tree, path, {
         '/readonly': self.isReadOnly(path),
         '/content': self.get(path)
       })
     })
-    return tree
+    callback(null, tree)
+  }
+
+  this.removePrefix = function (path) {
+    return path.indexOf(this.type + '/') === 0 ? path.replace(this.type + '/', '') : path
   }
 
   // rename .browser-solidity.json to .remix.config
diff --git a/src/app/files/file-explorer.js b/src/app/files/file-explorer.js
index 2a6f938083..27ad8034be 100755
--- a/src/app/files/file-explorer.js
+++ b/src/app/files/file-explorer.js
@@ -99,13 +99,13 @@ function fileExplorer (appAPI, files) {
         })) : undefined
       }
     },
-    formatSelf: function (key, data) {
+    formatSelf: function (key, data, li) {
       var isRoot = data.path.indexOf('/') === -1
       return yo`<label class="${data.children ? css.folder : css.file}"
         data-path="${data.path}"
         style="${isRoot ? 'font-weight:bold;' : ''}"
-        onload=${function (el) { adaptEnvironment(el, focus, hover) }}
-        onunload=${function (el) { unadaptEnvironment(el, focus, hover) }}
+        onload=${function (el) { adaptEnvironment(el, focus, hover, li) }}
+        onunload=${function (el) { unadaptEnvironment(el, focus, hover, li) }}
         onclick=${editModeOn}
         onkeydown=${editModeOff}
         onblur=${editModeOff}
@@ -346,10 +346,13 @@ function fileExplorer (appAPI, files) {
   }
 
   function fileAdded (filepath) {
-    var el = treeView.render(files.listAsTree())
-    el.className = css.fileexplorer
-    self.element.parentElement.replaceChild(el, self.element)
-    self.element = el
+    self.files.resolveDirectory('./', (error, files) => {
+      if (error) console.error(error)
+      var element = self.treeView.render(files)
+      element.className = css.fileexplorer
+      self.element.parentElement.replaceChild(element, self.element)
+      self.element = element
+    })
   }
 }
 
@@ -357,7 +360,7 @@ function fileExplorer (appAPI, files) {
   HELPER FUNCTIONS
 */
 function adaptEnvironment (label, focus, hover) {
-  var li = getLiFrom(label)
+  var li = getLiFrom(label) // @TODO: maybe this gets refactored?
   li.style.position = 'relative'
   var span = li.firstChild
   // add focus
@@ -369,7 +372,7 @@ function adaptEnvironment (label, focus, hover) {
 }
 
 function unadaptEnvironment (label, focus, hover) {
-  var li = getLiFrom(label)
+  var li = getLiFrom(label) // @TODO: maybe this gets refactored?
   var span = li.firstChild
   li.style.position = undefined
   // remove focus
@@ -413,11 +416,18 @@ function expandPathTo (li) {
 }
 
 fileExplorer.prototype.init = function () {
-  var files = this.files.listAsTree()
-  var element = this.treeView.render(files)
-  element.className = css.fileexplorer
-  element.events = this.events
-  element.api = this.api
-  this.element = element
-  return element
+  var self = this
+  self.files.resolveDirectory('/', (error, files) => {
+    if (error) console.error(error)
+    var element = self.treeView.render(files)
+    element.className = css.fileexplorer
+    element.events = self.events
+    element.api = self.api
+    setTimeout(function () {
+      self.element.parentElement.replaceChild(element, self.element)
+      self.element = element
+    }, 0)
+  })
+  self.element = yo`<div></div>`
+  return self.element
 }
diff --git a/src/app/files/fileManager.js b/src/app/files/fileManager.js
index bd8f8d3a8c..29fb53f9ce 100644
--- a/src/app/files/fileManager.js
+++ b/src/app/files/fileManager.js
@@ -120,28 +120,34 @@ class FileManager {
   }
 
   switchFile (file) {
+    var self = this
     if (!file) {
-      var fileList = Object.keys(this.opt.filesProviders['browser'].list())
-      if (fileList.length) {
-        file = fileList[0]
-      }
-    }
-    if (!file) return
-    this.saveCurrentFile()
-    this.opt.config.set('currentFile', file)
-    this.refreshTabs(file)
-    this.fileProviderOf(file).get(file, (error, content) => {
-      if (error) {
-        console.log(error)
-      } else {
-        if (this.fileProviderOf(file).isReadOnly(file)) {
-          this.opt.editor.openReadOnly(file, content)
+      self.opt.filesProviders['browser'].resolveDirectory('', (error, filesTree) => {
+        if (error) console.error(error)
+        var fileList = Object.keys(flatten(filesTree))
+        if (fileList.length) {
+          file = fileList[0]
+          if (file) _switchFile(file)
+        }
+      })
+    } else _switchFile(file)
+    function _switchFile () {
+      self.saveCurrentFile()
+      self.opt.config.set('currentFile', file)
+      self.refreshTabs(file)
+      self.fileProviderOf(file).get(file, (error, content) => {
+        if (error) {
+          console.log(error)
         } else {
-          this.opt.editor.open(file, content)
+          if (self.fileProviderOf(file).isReadOnly(file)) {
+            self.opt.editor.openReadOnly(file, content)
+          } else {
+            self.opt.editor.open(file, content)
+          }
+          self.event.trigger('currentFileChanged', [file, self.fileProviderOf(file)])
         }
-        this.event.trigger('currentFileChanged', [file, this.fileProviderOf(file)])
-      }
-    })
+      })
+    }
   }
 
   fileProviderOf (file) {
@@ -173,3 +179,23 @@ class FileManager {
 }
 
 module.exports = FileManager
+
+function flatten (tree) {
+  var flat = {}
+  var names = Object.keys(tree || {})
+  if (!names.length) return
+  else {
+    names.forEach(name => {
+      if ('/content' in tree[name]) flat[name] = false
+      else {
+        var subflat = flatten(tree[name])
+        if (!subflat) {
+          // empty folder
+        } else {
+          Object.keys(subflat).forEach(path => { flat[name + '/' + path] = false })
+        }
+      }
+    })
+    return flat
+  }
+}
diff --git a/src/app/files/shared-folder.js b/src/app/files/shared-folder.js
index 887f2bf7b6..2001c54c7d 100644
--- a/src/app/files/shared-folder.js
+++ b/src/app/files/shared-folder.js
@@ -1,19 +1,63 @@
 'use strict'
-var async = require('async')
 var EventManager = require('remix-lib').EventManager
+var pathtool = require('path')
+
+function buildList (self, path = '', callback) {
+  path = '' + (path || '')
+  self.remixd.dir(path, (error, filesList) => {
+    if (error) console.error(error)
+    var list = Object.keys(filesList)
+    var counter = list.length
+    var fileTree = {}
+    if (!counter) callback(null, fileTree)
+    for (var i = 0, name, len = counter; i < len; i++) {
+      name = list[i]
+      if (filesList[name].isDirectory) {
+        setFolder(self, path, name, fileTree, finish)
+      } else {
+        setFileContent(self, path, name, fileTree, finish)
+      }
+    }
+    function finish (error) {
+      if (error) console.error(error)
+      counter--
+      if (!counter) callback(null, fileTree)
+    }
+  })
+}
+function setFolder (self, path, name, fileTree, done) {
+  buildList(self, name, (error, subFileTree) => {
+    if (error) console.error(error)
+    name = name.replace(path, '')
+    if (name[0] === '/') name = name.substring(1)
+    fileTree[name] = subFileTree
+    done(null)
+  })
+}
+function setFileContent (self, path, name, fileTree, done) {
+  self.remixd.read(name, (error, result) => {
+    if (error) console.error(error)
+    name = name.replace(path, '')
+    if (name[0] === '/') name = name.substring(1)
+    fileTree[name] = {
+      '/content': result.content,
+      '/readonly': result.readonly
+    }
+    done(null)
+  })
+}
 
-class SharedFolder {
+module.exports = class SharedFolder {
   constructor (remixd) {
     this.event = new EventManager()
-    this.remixd = remixd
-    this.files = null
-    this.filesContent = {}
-    this.filesTree = null
+    this._remixd = remixd
+    this.remixd = remixapi(remixd, this)
     this.type = 'localhost'
-    this.error = {
-      'EEXIST': 'File already exists'
-    }
-    this.remixd.event.register('notified', (data) => {
+    this.error = { 'EEXIST': 'File already exists' }
+    this._isReady = false
+    this.filesContent = {}
+
+    remixd.event.register('notified', (data) => {
       if (data.scope === 'sharedfolder') {
         if (data.name === 'created') {
           this.init(() => {
@@ -24,7 +68,7 @@ class SharedFolder {
             this.event.trigger('fileRemoved', [this.type + '/' + data.value.path])
           })
         } else if (data.name === 'changed') {
-          this.remixd.call('sharedfolder', 'get', {path: data.value}, (error, content) => {
+          this._remixd.call('sharedfolder', 'get', {path: data.value}, (error, content) => {
             if (error) {
               console.log(error)
             } else {
@@ -38,41 +82,46 @@ class SharedFolder {
     })
   }
 
+  isConnected () {
+    return this._isReady
+  }
+
   close (cb) {
-    this.remixd.close()
-    this.files = null
-    this.filesTree = null
+    this.remixd.exit()
+    this._isReady = false
     cb()
   }
 
   init (cb) {
-    this.remixd.call('sharedfolder', 'list', {}, (error, filesList) => {
-      if (error) {
-        cb(error)
-      } else {
-        this.files = {}
-        for (var k in filesList) {
-          this.files[this.type + '/' + k] = filesList[k]
-        }
-        listAsTree(this, this.files, (error, tree) => {
-          this.filesTree = tree
-          cb(error)
-        })
-      }
-    })
+    this._isReady = true
+    cb()
   }
 
+  // @TODO: refactor all `this._remixd.call(....)` uses into `this.remixd[api](...)`
+  // where `api = ...`:
+  // this.remixd.read(path, (error, content) => {})
+  // this.remixd.write(path, content, (error, result) => {})
+  // this.remixd.rename(path1, path2, (error, result) => {})
+  // this.remixd.remove(path, (error, result) => {})
+  // this.remixd.dir(path, (error, filesList) => {})
+  //
+  // this.remixd.exists(path, (error, isValid) => {})
+
   exists (path) {
+    // @TODO: add new remixd.exists() method
+    // we remove the this.files = null at the beggining
+    // modify the exists() (cause it is using the this.files) to use remixd
+    // yes for the exists I think you might need another remixd function
     if (!this.files) return false
     return this.files[path] !== undefined
   }
 
   get (path, cb) {
     var unprefixedpath = this.removePrefix(path)
-    this.remixd.call('sharedfolder', 'get', {path: unprefixedpath}, (error, content) => {
+    this._remixd.call('sharedfolder', 'get', {path: unprefixedpath}, (error, file) => {
       if (!error) {
-        this.filesContent[path] = content
-        cb(error, content)
+        this.filesContent[path] = file.content
+        cb(error, file.content)
       } else {
         // display the last known content.
         // TODO should perhaps better warn the user that the file is not synced.
@@ -83,10 +132,9 @@ class SharedFolder {
 
   set (path, content, cb) {
     var unprefixedpath = this.removePrefix(path)
-    this.remixd.call('sharedfolder', 'set', {path: unprefixedpath, content: content}, (error, result) => {
+    this._remixd.call('sharedfolder', 'set', {path: unprefixedpath, content: content}, (error, result) => {
       if (cb) cb(error, result)
       var path = this.type + '/' + unprefixedpath
-      this.filesContent[path]
       this.event.trigger('fileChanged', [path])
     })
     return true
@@ -103,7 +151,7 @@ class SharedFolder {
 
   remove (path) {
     var unprefixedpath = this.removePrefix(path)
-    this.remixd.call('sharedfolder', 'remove', {path: unprefixedpath}, (error, result) => {
+    this._remixd.call('sharedfolder', 'remove', {path: unprefixedpath}, (error, result) => {
       if (error) console.log(error)
       var path = this.type + '/' + unprefixedpath
       delete this.filesContent[path]
@@ -116,7 +164,7 @@ class SharedFolder {
   rename (oldPath, newPath, isFolder) {
     var unprefixedoldPath = this.removePrefix(oldPath)
     var unprefixednewPath = this.removePrefix(newPath)
-    this.remixd.call('sharedfolder', 'rename', {oldPath: unprefixedoldPath, newPath: unprefixednewPath}, (error, result) => {
+    this._remixd.call('sharedfolder', 'rename', {oldPath: unprefixedoldPath, newPath: unprefixednewPath}, (error, result) => {
       if (error) {
         console.log(error)
         if (this.error[error.code]) error = this.error[error.code]
@@ -134,12 +182,26 @@ class SharedFolder {
     return true
   }
 
-  list () {
-    return this.files
-  }
-
-  listAsTree () {
-    return this.filesTree
+  //
+  // Tree model for files
+  // {
+  //   'a': { }, // empty directory 'a'
+  //   'b': {
+  //     'c': {}, // empty directory 'b/c'
+  //     'd': { '/readonly': true, '/content': 'Hello World' } // files 'b/c/d'
+  //     'e': { '/readonly': false, '/path': 'b/c/d' } // symlink to 'b/c/d'
+  //     'f': { '/readonly': false, '/content': '<executable>', '/mode': 0755 }
+  //   }
+  // }
+  //
+  resolveDirectory (path, callback) {
+    var self = this
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    buildList(self, path, (error, fileTree) => {
+      if (error) return callback(error)
+      callback(null, { [self.type]: fileTree })
+    })
   }
 
   removePrefix (path) {
@@ -147,55 +209,33 @@ class SharedFolder {
   }
 }
 
-//
-// Tree model for files
-// {
-//   'a': { }, // empty directory 'a'
-//   'b': {
-//     'c': {}, // empty directory 'b/c'
-//     'd': { '/readonly': true, '/content': 'Hello World' } // files 'b/c/d'
-//     'e': { '/readonly': false, '/path': 'b/c/d' } // symlink to 'b/c/d'
-//     'f': { '/readonly': false, '/content': '<executable>', '/mode': 0755 }
-//   }
-// }
-//
-function listAsTree (self, filesList, callback) {
-  function hashmapize (obj, path, val) {
-    var nodes = path.split('/')
-    var i = 0
-
-    for (; i < nodes.length - 1; i++) {
-      var node = nodes[i]
-      if (obj[node] === undefined) {
-        obj[node] = {}
-      }
-      obj = obj[node]
-    }
-
-    obj[nodes[i]] = val
+function remixapi (remixd, self) {
+  const read = (path, callback) => {
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    remixd.call('sharedfolder', 'get', { path }, (error, content) => callback(error, content))
   }
-
-  var tree = {}
-
-  // This does not include '.remix.config', because it is filtered
-  // inside list().
-  async.eachSeries(Object.keys(filesList), function (path, cb) {
-    self.get(path, (error, content) => {
-      if (error) {
-        console.log(error)
-        cb(error)
-      } else {
-        self.filesContent[path] = content
-        hashmapize(tree, path, {
-          '/readonly': filesList[path],
-          '/content': content
-        })
-        cb()
-      }
-    })
-  }, (error) => {
-    callback(error, tree)
-  })
+  const write = (path, content, callback) => {
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    remixd.call('sharedfolder', 'set', { path, content }, (error, result) => callback(error, result))
+  }
+  const rename = (path, newpath, callback) => {
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    remixd.call('sharedfolder', 'rename', { oldPath: path, newPath: newpath }, (error, result) => callback(error, result))
+  }
+  const remove = (path, callback) => {
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    remixd.call('sharedfolder', 'remove', { path }, (error, result) => callback(error, result))
+  }
+  const dir = (path, callback) => {
+    path = '' + (path || '')
+    path = pathtool.join('./', path)
+    remixd.call('sharedfolder', 'resolveDirectory', { path }, (error, filesList) => callback(error, filesList))
+  }
+  const exit = () => { remixd.close() }
+  const api = { read, write, rename, remove, dir, exit, event: remixd.event }
+  return api
 }
-
-module.exports = SharedFolder
diff --git a/src/app/panels/file-panel.js b/src/app/panels/file-panel.js
index b3c70dc2af..ae4faad4f3 100644
--- a/src/app/panels/file-panel.js
+++ b/src/app/panels/file-panel.js
@@ -305,7 +305,7 @@ function filepanel (appAPI, filesProvider) {
     */
   function connectToLocalhost () {
     var container = document.querySelector('.filesystemexplorer')
-    if (filesProvider['localhost'].files !== null) {
+    if (filesProvider['localhost'].isConnected()) {
       filesProvider['localhost'].close((error) => {
         if (error) console.log(error)
       })