If you want to compost with worms, momof5, you need red wigglers. most bait shop worms just don't survive and consume in quite the same way. Get a copy of "Worms Eat My Garbage!" from a store or library, and you'll learn all kinds of good stuff about composting with worms. A rabbit cage might be too open, but you have the right idea. Start with straw, newspaper, leaves, veggie trimmings, coffee grounds, egg shells, tea bags and looseleaf, spent, tea. 3 parts green to 1 part brown or dry matter. if you'd like some online resources, i'd be glad to pass some along!