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That's what a picture looks like when you simply attach it to a post - if you are in the attachment manager, you can lick the "insert inline" once you put the picture in the "Attachments" box:
Wherever your cursor was in the editor box is where it'll put the checked picture.
I mostly use the...
To check if it's your account, take a look all the way at the bottom right of this forum page, there's a little status box that tells you what your account can do:
This is a 64kB image I just uploaded through Chrome on my Win-7 Desktop. When you say "new upload system", are you talking about the attachment manger?
I just uploaded this image with the simple insert picture button in the quick reply editor: