What best describes the JPEG2000 encoding process?

The JPEG2000 encoding process is designed to offer a high level of image quality while maintaining efficient compression. When an image is encoded using JPEG2000, the first encoding can achieve a "visually lossless" result, meaning that although some data is discarded to reduce file size, the loss is often imperceptible to the human eye. This is particularly advantageous for applications requiring high fidelity, such as cinema and medical imaging.

Visually lossless encoding allows for significant compression without a noticeable impact on the visual quality of the image. It strikes a balance between reducing file size and maintaining an adequate representation of the original image. JPEG2000’s flexibility enables different compression levels, from lossy to lossless, but the characteristic of being visually lossless on the first encoding is a hallmark of its performance, demonstrating the effectiveness of its encoding algorithms.