diff --git a/lnbits/extensions/offlineshop/static/js/index.js b/lnbits/extensions/offlineshop/static/js/index.js
index c03906093..7ade1bb9a 100644
--- a/lnbits/extensions/offlineshop/static/js/index.js
+++ b/lnbits/extensions/offlineshop/static/js/index.js
@@ -4,6 +4,15 @@ Vue.component(VueQrcode.name, VueQrcode)
 
 const pica = window.pica()
 
+function imgSizeFit(img, maxWidth = 1024, maxHeight = 768) {
+  let ratio = Math.min(
+    1,
+    maxWidth / img.naturalWidth,
+    maxHeight / img.naturalHeight
+  )
+  return {width: img.naturalWidth * ratio, height: img.naturalHeight * ratio}
+}
+
 const defaultItemData = {
   unit: 'sat'
 }
@@ -23,6 +32,7 @@ new Vue({
       },
       itemDialog: {
         show: false,
+        urlImg: true,
         data: {...defaultItemData},
         units: ['sat']
       }
@@ -41,6 +51,9 @@ new Vue({
     openUpdateDialog(itemId) {
       this.itemDialog.show = true
       let item = this.offlineshop.items.find(item => item.id === itemId)
+      if (item.image.startsWith('data:')) {
+        this.itemDialog.urlImg = false
+      }
       this.itemDialog.data = item
     },
     imageAdded(file) {
@@ -48,17 +61,12 @@ new Vue({
       let image = new Image()
       image.src = blobURL
       image.onload = async () => {
+        let fit = imgSizeFit(image, 100, 100)
         let canvas = document.createElement('canvas')
-        canvas.setAttribute('width', 100)
-        canvas.setAttribute('height', 100)
-        await pica.resize(image, canvas, {
-          quality: 0,
-          alpha: true,
-          unsharpAmount: 95,
-          unsharpRadius: 0.9,
-          unsharpThreshold: 70
-        })
-        this.itemDialog.data.image = canvas.toDataURL()
+        canvas.setAttribute('width', fit.width)
+        canvas.setAttribute('height', fit.height)
+        output = await pica.resize(image, canvas)
+        this.itemDialog.data.image = output.toDataURL('image/jpeg', 0.4)
         this.itemDialog = {...this.itemDialog}
       }
     },
@@ -155,6 +163,7 @@ new Vue({
 
       this.loadShop()
       this.itemDialog.show = false
+      this.itemDialog.urlImg = true
       this.itemDialog.data = {...defaultItemData}
     },
     toggleItem(itemId) {
diff --git a/lnbits/extensions/offlineshop/templates/offlineshop/index.html b/lnbits/extensions/offlineshop/templates/offlineshop/index.html
index 61f6093e3..80a7bbb8b 100644
--- a/lnbits/extensions/offlineshop/templates/offlineshop/index.html
+++ b/lnbits/extensions/offlineshop/templates/offlineshop/index.html
@@ -237,7 +237,7 @@
         <q-responsive v-if="itemDialog.data.id" :ratio="1">
           <qrcode
             :value="'lightning:' + itemDialog.data.lnurl"
-            :options="{width: 800}"
+            :options="{width: 300}"
             class="rounded-borders"
           ></qrcode>
         </q-responsive>
@@ -266,7 +266,16 @@
             type="text"
             label="Brief description"
           ></q-input>
+          <q-input
+            v-if="itemDialog.urlImg"
+            filled
+            dense
+            v-model.trim="itemDialog.data.image"
+            type="url"
+            label="Image URL"
+          ></q-input>
           <q-file
+            v-else
             filled
             dense
             capture="environment"
@@ -288,6 +297,10 @@
               />
             </template>
           </q-file>
+          <q-toggle
+            :label="`${itemDialog.urlImg ? 'Insert image URL' : 'Upload image file'}`"
+            v-model="itemDialog.urlImg"
+          ></q-toggle>
           <q-input
             filled
             dense
diff --git a/lnbits/extensions/offlineshop/views_api.py b/lnbits/extensions/offlineshop/views_api.py
index 5e9f7e0d2..1b8abb495 100644
--- a/lnbits/extensions/offlineshop/views_api.py
+++ b/lnbits/extensions/offlineshop/views_api.py
@@ -60,6 +60,22 @@ async def api_add_or_update_item(
 ):
     shop = await get_or_create_shop_by_wallet(wallet.wallet.id)
     assert shop
+    if data.image:
+        image_is_url = data.image.startswith("https://") or data.image.startswith(
+            "http://"
+        )
+
+        if not image_is_url:
+
+            def size(b64string):
+                return int((len(b64string) * 3) / 4 - b64string.count("=", -2))
+
+            image_size = size(data.image) / 1024
+            if image_size > 100:
+                raise HTTPException(
+                    status_code=HTTPStatus.BAD_REQUEST,
+                    detail=f"Image size is too big, {int(image_size)}Kb. Max: 100kb, Compress the image at https://tinypng.com, or use an URL.",
+                )
     if data.unit != "sat":
         data.price = data.price * 100
     if item_id == None: