the src url of the <img ...> tag can itself be a base64 encoded image:
http://en.wikipedia.org/wiki/Data_URI_scheme#HTML

On Fri, Mar 13, 2015 at 11:50 AM Steven G. Johnson <[email protected]>
wrote:

>
>
> On Friday, March 13, 2015 at 11:44:57 AM UTC-4, Randy Zwitch wrote:
>>
>> You can also use plain HTML in a markdown cell.
>>
>
> Yes, you can use <img ...> tags, but then the image data is not included
> in the notebook file itself, so unless the image is on a server somewhere
> that makes it more annoying to share the notebook (as you have to remember
> to copy the image file along with the notebook).
>

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