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In this paper we introduce a reversible data hiding algorithm for medical images and its hardware implementation. Using the advantages of some proved methods and the characteristics of radiological medical images we obtain a large embedding capacity with minimum distortion of the original image using an easy control for recovering the hidden data and the original image. Moreover, in order to speed up computations, a FPGA-based hardware implementation is explored. Due to its simplicity, the proposed architecture can be used as coprocessor or custom core in reconfigurable hardware/software platforms.