I've been playing with this yesterday and found 2 work around (based on feedback here) --

1) For markdown - download and install "Paste to markdown" plugin in google chrome. You can now take a screen shot or copy and image to the clipboard and right click on the MD editor and hit "Paste as Markdown" and it will dump the base64 image in there in a way that works. It is a bit ugly since the whole base64 string is there, but it works.

2) Visual Editor - As mentioned below, if you write your article in MS Word including images, when you copy and paste it into the visual editor, the images will come over. Note, you cannot just copy the image along for some reason - you must add some text or a single space to the copy and when you paste it the image will come over. This looks cleaner than the MD version since you don't have to look at the base64 string.

FYI - I just lost the competition between using Wiki.JS (my preferred choice) and xwiki (yuck) over this.

Version 3 has been on the timeline for years now it seems like, and I know you guys are working hard on creating a great product that's free for everyone to use, so I hate to sound negative.

I'd just love to be able to use wiki.js at my company, but we simply can't use something that doesn't already include this.

this will be a game changer

We currently paste images into the draw.io diagram, save and close to embed them quick and dirty. No need to fumble around with uploading images, but a native way of doing this would be great as there seem to be limitations in how many screenshots the MD editor can take especially if images cannot be sufficiently compressed. We had to make updates to the max upload size also to get saving of documents with large amount of images to work. +1 for a native approach in v3!

We would also very much love to see this feature.

I also want to have image pasting function

That's the main issue for my users to stay with confluence :(

A nice editor with copy and paste for pictures (which did not overwrite existing image files by using each time the same filename) should have a high priority. The acceptance level will raise and the userbase will grow.

I second this feature and this is a make or break for many powerusers, who rely on screenshotting and directly pasting in the Visual editor