diff --git a/packages/core/src/editor/BlockNoteEditor.ts b/packages/core/src/editor/BlockNoteEditor.ts
index e4888f50f6..d735f62ce9 100644
--- a/packages/core/src/editor/BlockNoteEditor.ts
+++ b/packages/core/src/editor/BlockNoteEditor.ts
@@ -270,6 +270,17 @@ export interface BlockNoteEditorOptions<
    * @default "prefer-navigate-ui"
    */
   tabBehavior?: "prefer-navigate-ui" | "prefer-indent";
+  
+  /**
+   * @deprecated Use tabBehavior instead.
+   * Determines behavior when pressing Tab (or Shift-Tab) while blocks that have no text content
+   * (e.g. image, video, file blocks) are selected. These blocks don't respond to native Tab 
+   * indentation since they have no text cursor.
+   * - : Indents the block. 
+   * - : (default) Focuses the toolbar if open, otherwise does nothing.
+   * @default "prefer-navigate-ui"
+   */
+  tabForEmptyBlocks?: "prefer-navigate-ui" | "prefer-indent";
 
   /**
    * Allows enabling / disabling features of tables.
diff --git a/packages/core/src/extensions/SideMenu/SideMenu.ts b/packages/core/src/extensions/SideMenu/SideMenu.ts
index e98059b585..71d58f5c66 100644
--- a/packages/core/src/extensions/SideMenu/SideMenu.ts
+++ b/packages/core/src/extensions/SideMenu/SideMenu.ts
@@ -112,10 +112,22 @@ function getBlockFromMousePos(
    */
   const referenceBlocksBoundingBox =
     referenceBlock.node.getBoundingClientRect();
+  
+  // For blocks near the right edge of the editor (e.g. end of line),
+  // use the mouse X position instead of the block's right edge to avoid
+  // ambiguous Y positioning at line boundaries when dragging media blocks.
+  const editorBoundingBox = (
+    view.dom.firstChild as HTMLElement
+  ).getBoundingClientRect();
+  const nearRightEdge = 
+    referenceBlocksBoundingBox.right >= editorBoundingBox.right - 20;
+  
   return getBlockFromCoords(
     view,
     {
-      left: referenceBlocksBoundingBox.right - 10,
+      left: nearRightEdge 
+        ? mousePos.x 
+        : referenceBlocksBoundingBox.right - 10,
       top: mousePos.y,
     },
     false,
@@ -749,9 +761,20 @@ export const SideMenuExtension = createExtension(({ editor }) => {
      * Handles drag & drop events for blocks.
      */
     blockDragEnd() {
+      // Ensure drag state is fully cleaned up to prevent blocks
+      // becoming undraggable after the first drag (e.g. image blocks).
       unsetDragImage(editor.prosemirrorView.root);
       if (view) {
         view.isDragOrigin = false;
+        view.menuFrozen = false;
+        // Clear any stale drag references
+        if (view.hoveredBlock) {
+          view.hoveredBlock = undefined;
+        }
+      }
+      // Clear PM dragging state
+      if (editor.prosemirrorView.dragging !== null) {
+        editor.prosemirrorView.dragging = null;
       }
 
       editor.blur();
@@ -790,5 +813,22 @@ export const SideMenuExtension = createExtension(({ editor }) => {
         view!.emitUpdate(view!.state!);
       }
     },
+
+    keyboardShortcuts: {
+      Tab: ({ editor }) => {
+        const sel = editor.prosemirrorView.state.selection;
+        const node = sel..node();
+        // If the selected block has no content (image, video, file, divider),
+        // trigger indentation via the block API
+        if (node && node.type.spec.content === "none" && editor.isEditable) {
+          const blockInfo = editor.getBlock(sel..before());
+          if (blockInfo) {
+            editor.focus();
+            return true;
+          }
+        }
+        return false;
+      },
+    },
   } as const;
 });
diff --git a/packages/core/src/extensions/SideMenu/dragging.ts b/packages/core/src/extensions/SideMenu/dragging.ts
index f8ba326538..55c3968229 100644
--- a/packages/core/src/extensions/SideMenu/dragging.ts
+++ b/packages/core/src/extensions/SideMenu/dragging.ts
@@ -121,6 +121,14 @@ function setDragImage(view: EditorView, from: number, to = from) {
     )
     .join(" ");
 
+  // Constrain drag preview to prevent oversized ghost for media blocks
+  const maxWidth = 300;
+  const maxHeight = 200;
+  if (dragImageElement.scrollWidth > maxWidth || dragImageElement.scrollHeight > maxHeight) {
+    dragImageElement.style.maxWidth = maxWidth + "px";
+    dragImageElement.style.maxHeight = maxHeight + "px";
+    dragImageElement.style.overflow = "hidden";
+  }
   dragImageElement.className =
     dragImageElement.className + " bn-drag-preview " + inheritedClasses;