One of the main challenges in the smart grid is how to efficiently manage the high-volume data from smart meters and sensors and preserve the privacy from the consumption data to avoid potential attacks (e.g., identity theft) for the involved prosumers, retail electricity providers and other clusters of distributed energy resources. This poster proposes a two-layer framework with the cloud computing infrastructure. The virtual ring and identity-based cryptography are utilized in each layer to preserve privacy efficiently. The methods of the virtual ring and identity-based cryptography are introduced. The purposes and needs are discussed at the end of this poster.