diff --git a/src/model/encoding/__tests__/convertFromHTMLToContentBlocks-test.js b/src/model/encoding/__tests__/convertFromHTMLToContentBlocks-test.js
index d0d6f6ece1..db7cd1baab 100644
--- a/src/model/encoding/__tests__/convertFromHTMLToContentBlocks-test.js
+++ b/src/model/encoding/__tests__/convertFromHTMLToContentBlocks-test.js
@@ -15,6 +15,9 @@ jest.disableAutomock();
 
 const convertFromHTMLToContentBlocks = require('convertFromHTMLToContentBlocks');
 
+const IMAGE_DATA_URL = 'data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///' +
+  'yH5BAEAAAAALAAAAAABAAEAAAIBRAA7';
+
 function testConvertingAdjacentHtmlElementsToContentBlocks(
   tag: string,
 ) {
@@ -45,4 +48,20 @@ describe('convertFromHTMLToContentBlocks', () => {
     'p',
     'pre',
   ].forEach(tag => testConvertingAdjacentHtmlElementsToContentBlocks(tag));
+
+  describe('img tag', function() {
+    test('img with http protocol should have empty content', function() {
+      const blocks = convertFromHTMLToContentBlocks(
+        '<img src="http://www.facebook.com">',
+      );
+      expect(blocks.contentBlocks[0].text).toBe(' ');
+    });
+
+    test('img with data protocol should be correctly parsed', function() {
+      const blocks = convertFromHTMLToContentBlocks(
+        `<img src="${IMAGE_DATA_URL}">`,
+      );
+      expect(blocks.contentBlocks[0].text).toBe(' ');
+    });
+  });
 });
diff --git a/src/model/encoding/convertFromHTMLToContentBlocks.js b/src/model/encoding/convertFromHTMLToContentBlocks.js
index 2ddafa78ac..d92283d953 100644
--- a/src/model/encoding/convertFromHTMLToContentBlocks.js
+++ b/src/model/encoding/convertFromHTMLToContentBlocks.js
@@ -403,8 +403,9 @@ function genFragment(
         entityConfig[attr] = imageAttribute;
       }
     });
-    const imageURI = new URI(entityConfig.src).toString();
-    node.textContent = imageURI; // Output src if no decorator
+    // Forcing this node to have children because otherwise no entity will be
+    // created for this node.
+    node.textContent = ' ';
 
     // TODO: update this when we remove DraftEntity entirely
     inEntity = DraftEntity.__create(