I tried just entering the correct setting and saving. I actually saw some of my files appear in cloud file but when I try to upload a picture in wordpress admin I get
Warning: curl_setopt() [function.curl-setopt]: CURLOPT_FOLLOWLOCATION cannot be activated when safe_mode is enabled or an open_basedir is set in /nfs/c04/h02/mnt/62993/domains/DOMAIN/html/wp-content/plugins/w3-total-cache/lib/CF/cloudfiles_http.php on line 210
Warning: curl_setopt() [function.curl-setopt]: CURLOPT_FOLLOWLOCATION cannot be activated when safe_mode is enabled or an open_basedir is set in /nfs/c04/h02/mnt/62993/domains/DOMAIN/html/wp-content/plugins/w3-total-cache/lib/CF/cloudfiles_http.php on line 1178
Can you try the development version and see if that issue persists?
The lastest off the SVN worked but there is a bug where it will upload new media files to the CDN but will not link to them.
When I look in the transfer queue I see
Invalid response (0): (curl error: 7) couldn't connect to host: Failed to obtain valid HTTP response.
But I do see the files in the CDN.
Can you submit a bug submission form from the support tab please?