darkSpyro

Avatars: We can place custom ones, but we have to pluck them from our computer. If it's from a website, we have to download it first.

Forums: We can only place images from URLs and can't upload them directly to the site.

Maybe there should be a way to fix this?

Avatars from your computer are done to avoid links that might potentially break. Images in posts from the internet are done because uploading images directly to this website would eventually take up a huge amount of space, and maybe result in old images being deleted anyway.

That's also why avatars have a size limit in the first place, so every user doesn't upload (for example) a massive avatar image and that then takes up space on the server.

Use tinypic for images

I use CubeUpload.