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In this letter we propose a new technique for progressive coding of hyperspectral data. Specifically, we employ a hybrid three-dimensional wavelet transform for spectral and spatial decorrelation in the framework of Part 2 of the JPEG 2000 standard. Both onboard and on-the-ground compression are addressed. The resulting technique is compliant with the JPEG 2000 family of standards and provides competitive performance with respect to state-of-the-art techniques.