Use of the highly fineness ceramic sludge ash (CSA) has a high importance due to its CO2 reduction by its substitution into cement. Current research studies the expected changes in the characteristics of blended cement pastes with nanograin size particles of CSA. Results showed that the high fineness of CSA was the main reason to increase w/c-ratio and to delay the setting time. The CSA influenced the strength of cement pastes after 3 days of hydration more than after 28 days. Quartz and feldspar in CSA may be the essential reason for the early hydration retardation. After 28 days, physical and mechanical properties were used to limit both free lime contents and rate of hydration. Pozzolanic character of CSA could produce calcite, which enhanced the rate of hydration and improved the strength up to 90 days. SEM microscopic analysis proved the formation of amorphous hydration products, CSHs and portlandite that were smolder the surfaces and sides of CSA forming a robust structure due to the normal hydration and pozzolanic activity of CSA.