[]1) .threads doesn't shrink it as filesize and height/width are concerned. You are able to set the maximum display sitze via html attributes in the templates, so...
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but this doesn't answer the question.
first you say it doesn't adjust, but then you tell how to change the size. which means it HAS to adjust. this then also implies that the file IS pulled onto the threads server before it put onto a page and sent to a user.
so which is it, does it pull down any size image file that it is pointed to, adjust it to what it is set and re-send it out or not?