<?php
# getting the uploaded image and storing it
if ( isset($_FILES['image']['tmp_name']) ) {
    // open mysqli db connection
    $mysqli = new mysqli($mysqliHost,$mysqliUsername,$mysqliPassword,$mysqliDatabase);
    // get image data
    $binary = file_get_contents($_FILES['image']['tmp_name']);
    // get mime type
    $finfo = new finfo(FILEINFO_MIME);
    $type = $finfo->file($_FILES['image']['tmp_name']);
    $mime = substr($type, 0, strpos($type, ';'));
    $query = "INSERT INTO `images` 
                    (`data`,`mime`,`name`) 
    VALUES('".$mysqli->real_escape_string($binary)."',
            '".$mysqli->real_escape_string($mime)."',
            '".$mysqli->real_escape_string($_FILES['image']['name'])."')";
    $mysqli->query($query);
}
# viewing the uploaded image
if ( isset($_GET['imageName']) ) {
    // open mysqli db connection
    $mysqli = new mysqli($mysqliHost,$mysqliUsername,$mysqliPassword,$mysqliDatabase);
    // query for the image in the db
    $query = "SELECT `data`,`mime` FROM `images` WHERE `name`='".$mysqli->real_escape_string($_GET['imageName'])."'";
    $result = $mysql->query($query);
    if ( $result->num_rows ) {
        // grab the query result from the db select
        $assoc = $result->fetch_assoc();
        // let the client browser know what type of data you're sending
        header('Content-type: '.$assoc['mime']);
        // dump the binary data to the browser
        echo $assoc['data'];
        exit;
    } else {
        header('HTTP/1.1 404 Not Found');
        exit;
    }
}
?>
My script does not account for images with the same name, you can swap out the part where it says $_FILES['image']['name'] to another variable that has/creates a unique name for it, or use the inserted ID (PRIMARY AUTO_INCREMENT MySQL key).
Here is a sample table schema:
CREATE TABLE `images` (
  `id` int(10) unsigned NOT NULL AUTO_INCREMENT,
  `data` longblob NOT NULL,
  `mime` varchar(50) NOT NULL,
  `name` varchar(255) NOT NULL,
  PRIMARY KEY (`id`),
  KEY `name` (`name`)
) ENGINE=MyISAM DEFAULT CHARSET=utf8 AUTO_INCREMENT=1 ;