jquery-notebook
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Implement the Add Image functionality
The Add Image_ functionality should a callback to be supplied on the options object. This callback will be called once the Add image button is pressed on the context bubble so that the user of the plugin can prompt the final user to choose or upload an image. One of the arguments of the callback will be another function to be called passing the image url once the user has chosen an image.
+1!
https://github.com/tjsail33/jquery-notebook/tree/stable
Image uploading functionality is there. It uploads from your computer directly to Imgur currently.