diff --git a/src/cli/commands/init.js b/src/cli/commands/init.js
index fc85528eb2..dcde142265 100644
--- a/src/cli/commands/init.js
+++ b/src/cli/commands/init.js
@@ -1,7 +1,11 @@
 const Command = require('ronin').Command
+const IpfsRepo = require('ipfs-repo')
+const Ipfs = require('../../core')
+const fsBlobStore = require('fs-blob-store')
+const utils = require('../utils')
 
 module.exports = Command.extend({
-  desc: 'Initialize ipfs local configuration',
+  desc: 'Initialize a local IPFS node',
 
   options: {
     bits: {
@@ -22,5 +26,30 @@ module.exports = Command.extend({
     }
   },
 
-  run: () => {}
+  run: (bits, force, empty) => {
+    const path = utils.getRepoPath()
+
+    const repo = new IpfsRepo(path, {
+      stores: {
+        keys: fsBlobStore,
+        config: fsBlobStore,
+        datastore: fsBlobStore,
+        logs: fsBlobStore,
+        locks: fsBlobStore,
+        version: fsBlobStore
+      }
+    })
+
+    var ipfs = new Ipfs(repo)
+    ipfs.init({
+      bits: bits,
+      force: force,
+      emptyRepo: empty
+    }, function (err, res) {
+      if (err) {
+        console.error(err.toString())
+        process.exit(1)
+      }
+    })
+  }
 })
diff --git a/src/cli/utils.js b/src/cli/utils.js
index c6e43daf4c..d714da286b 100644
--- a/src/cli/utils.js
+++ b/src/cli/utils.js
@@ -9,12 +9,10 @@ log.error = debug('cli:error')
 
 exports = module.exports
 
-const repoPath = process.env.IPFS_PATH || os.homedir() + '/.ipfs'
-
 exports.isDaemonOn = isDaemonOn
 function isDaemonOn () {
   try {
-    fs.readFileSync(repoPath + '/api')
+    fs.readFileSync(exports.getRepoPath() + '/api')
     log('daemon is on')
     return true
   } catch (err) {
@@ -29,7 +27,7 @@ function getAPICtl () {
     throw new Error('daemon is not on')
   }
 
-  const apiAddr = multiaddr(fs.readFileSync(repoPath + '/api').toString())
+  const apiAddr = multiaddr(fs.readFileSync(exports.getRepoPath() + '/api').toString())
   return APIctl(apiAddr.toString())
 }
 
@@ -44,3 +42,7 @@ exports.getIPFS = (callback) => {
 
   callback(null, getAPICtl())
 }
+
+exports.getRepoPath = () => {
+  return process.env.IPFS_PATH || os.homedir() + '/.ipfs'
+}
diff --git a/tests/test-cli/test-init.js b/tests/test-cli/test-init.js
new file mode 100644
index 0000000000..29b3a54d69
--- /dev/null
+++ b/tests/test-cli/test-init.js
@@ -0,0 +1,84 @@
+/* eslint-env mocha */
+
+const expect = require('chai').expect
+const nexpect = require('nexpect')
+const rimraf = require('rimraf')
+const path = require('path')
+const fs = require('fs')
+const utils = require('../../src/cli/utils')
+
+function repoExistsSync (p) {
+  return fs.existsSync(path.join(utils.getRepoPath(), p))
+}
+
+describe('init', function () {
+  this.timeout(10000)
+
+  var oldRepoPath = process.env.IPFS_PATH
+  beforeEach((done) => {
+    oldRepoPath = process.env.IPFS_PATH
+    const repoPath = '/tmp/ipfs-test-' + Math.random().toString().substring(2, 8) + '/'
+    process.env.IPFS_PATH = repoPath
+    done()
+  })
+
+  afterEach((done) => {
+    rimraf(process.env.IPFS_PATH, (err) => {
+      expect(err).to.not.exist
+      process.env.IPFS_PATH = oldRepoPath
+      done()
+    })
+  })
+
+  it('basic', (done) => {
+    nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init'])
+      .run((err, stdout, exitcode) => {
+        expect(err).to.not.exist
+        expect(repoExistsSync('blocks')).to.equal(true)
+        expect(repoExistsSync('config')).to.equal(true)
+        expect(repoExistsSync('version')).to.equal(true)
+        done()
+      })
+  })
+
+  it('bits', (done) => {
+    nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init', '--bits', '64'])
+      .run((err, stdout, exitcode) => {
+        expect(err).to.not.exist
+        done()
+      })
+  })
+
+  it('empty', (done) => {
+    nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init', '--bits', '64', '--empty-repo', 'true'])
+      .run((err, stdout, exitcode) => {
+        expect(err).to.not.exist
+        expect(repoExistsSync('blocks')).to.equal(false)
+        expect(repoExistsSync('config')).to.equal(true)
+        expect(repoExistsSync('version')).to.equal(true)
+        done()
+      })
+  })
+
+  it('force', (done) => {
+    nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init', '--bits', '64', '--force'])
+      .run((err, stdout, exitcode) => {
+        expect(err).to.not.exist
+        expect(exitcode).to.equal(0)
+
+        nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init', '--bits', '64'])
+          .run((err, stdout, exitcode) => {
+            expect(err).to.not.exist
+            expect(exitcode).to.equal(1)
+
+            nexpect.spawn('node', [process.cwd() + '/src/cli/bin.js', 'init', '--bits', '64', '--force'])
+              .run((err, stdout, exitcode) => {
+                expect(err).to.not.exist
+                expect(exitcode).to.equal(0)
+                done()
+              })
+          })
+      })
+  })
+})
+