This paper proposes a method to embed data in binary images with high embedding capacity.It is proved that

given an

m×n

image block of the host image

the upper bound of the amount of bits that can be embedded in that block is?(log

2

(mn+1

)」by changing at most 1 pixel in the block.An algorithm whose embedding capacity can reach the bound is then constructed.We also summarize some rules for selecting pixels to be changed in order to maintain higher quality of the host image after data hiding.The robustness and security of the proposed algorithm is analyzed.Three examples

data hiding in digital handwritten signature

temper detection of digital binary documents

and invisible annotation for cartoon image are tested to illustrate the potential applications.