Abstract: A transform approach to image coding where pixels are coded in the order prescribed by a predetermined "List". The code for each pixel is developed by computing a prediction for the pixel based on the known pixel values in the neighborhood of the pixel and subtracting this prediction from the true value of the pixel. This results in a sequence of predominantly non-zero valued pixel prediction errors at the beginning of the encoding process (of each block), and predominantly zero valued pixel prediction errors towards the end of the encoding process. Enhancements to this approach include adaptive encoding, where pixel sequences having expected zero prediction errors are not encoded, and run length encoding of the signals to be transmitted or stored for augmenting the encoding process.