theres a manual fix for this. in mbin, when you attach the image in a post and save, it is uploaded and shown. you can then grab the image link (right click image, copy link), edit the post, and add the link using the image tag, and save, it then shows in-line in lemmy.

yeah, it sucks but at least it works until this is implemented. ive been usin this method for over a year now…