The JPEG-as-analogy-for-consciousness assumes materialization of consciousness. Insofar as we're using JPEGs as a metaphor for consciousness, the fact that JPEGs can be regarded as an informational abstraction translated across different physical mediums is perfectly compatible with a physicalist story of how consciousness occurs, which was the point of this whole sub-thread.

>A hole is not physical but it's realized in the midst of physicality.

Yet no one seems to think this poses some metaphysical problem requiring us to go "beyond" physics to explain holes.