The invention provides a CDN network system based on geographical position information encoding and a distribution treatment method thereof. The network system comprises a full-network management layer, a local content central management layer and a Cache network layer. The full-network management layer is acted by a server with a backup and responsible for full-network information management andanalysis and implementation of operation commands of a system administrator; the local content central management layer consists of part of nodes with stable storage ability and strong calculation ability and is responsible for related calculation of a CDN local region and storage of management information; and the Cache network layer is applied in the encoding way based on hierarchical geographical position information, and a plurality of nodes are responsible for routing and the storage of data which is required to be back up. According to the CDN network system, the CDN system has higher anti-dynamic property and scalability of the CDN system and facilitates distribution treatment and data management of media files by hierarchical storage and management of media data and management data.