With the "new" BYC, I think you do NOT include the IMG tag.
Select "Insert Image" and either browse on your computer for an image OR copy and paste the image URL (without the IMG or URL tags) -only the http link. Then click "submit."
See the part above..... just use that and put it in the image box.
Click the image icon, and then click on " Image URL." Paste the above part in the box and click submit.