diff --git a/quartz/plugins/parsers/obsidian/blockreference.ts b/quartz/plugins/parsers/obsidian/blockreference.ts
index e69de29bb..64cf392ec 100644
--- a/quartz/plugins/parsers/obsidian/blockreference.ts
+++ b/quartz/plugins/parsers/obsidian/blockreference.ts
@@ -0,0 +1,118 @@
+import { QuartzParser } from "../../types"
+import { ReplaceFunction, findAndReplace as mdastFindReplace } from "mdast-util-find-and-replace"
+import { JSResource } from "../../../util/resources"
+import { visit } from "unist-util-visit"
+import { Root } from "mdast"
+import { Pluggable } from "unified"
+import { Element, Literal, Root as HtmlRoot } from "hast"
+
+interface Options {
+  enabled: Boolean
+}
+
+const defaultOptions: Options = {
+  enabled: true,
+}
+
+const blockReferenceRegex = new RegExp(/\^([-_A-Za-z0-9]+)$/g)
+
+export const ObsidianBlockReference: QuartzParser<Partial<Options>> = (userOpts) => {
+  const opts: Options = { ...defaultOptions, ...userOpts }
+  return {
+    name: "ObsidianBlockReference",
+    textTransform(_ctx, src: string | Buffer) {
+      if (src instanceof Buffer) {
+        src = src.toString()
+      }
+      return src
+    },
+    markdownPlugins(_ctx) {
+      const plug: Pluggable = (tree: Root, _file) => {
+        const replacements: [RegExp, string | ReplaceFunction][] = []
+        mdastFindReplace(tree, replacements)
+      }
+      return plug
+    },
+    htmlPlugins() {
+      const inlineTagTypes = new Set(["p", "li"])
+      const blockTagTypes = new Set(["blockquote"])
+      if (opts.enabled) {
+        const plug: Pluggable = (tree: HtmlRoot, file) => {
+          file.data.blocks = {}
+
+          visit(tree, "element", (node, index, parent) => {
+            if (blockTagTypes.has(node.tagName)) {
+              const nextChild = parent?.children.at(index! + 2) as Element
+              if (nextChild && nextChild.tagName === "p") {
+                const text = nextChild.children.at(0) as Literal
+                if (text && text.value && text.type === "text") {
+                  const matches = text.value.match(blockReferenceRegex)
+                  if (matches && matches.length >= 1) {
+                    parent!.children.splice(index! + 2, 1)
+                    const block = matches[0].slice(1)
+
+                    if (!Object.keys(file.data.blocks!).includes(block)) {
+                      node.properties = {
+                        ...node.properties,
+                        id: block,
+                      }
+                      file.data.blocks![block] = node
+                    }
+                  }
+                }
+              }
+            } else if (inlineTagTypes.has(node.tagName)) {
+              const last = node.children.at(-1) as Literal
+              if (last && last.value && typeof last.value === "string") {
+                const matches = last.value.match(blockReferenceRegex)
+                if (matches && matches.length >= 1) {
+                  last.value = last.value.slice(0, -matches[0].length)
+                  const block = matches[0].slice(1)
+
+                  if (last.value === "") {
+                    // this is an inline block ref but the actual block
+                    // is the previous element above it
+                    let idx = (index ?? 1) - 1
+                    while (idx >= 0) {
+                      const element = parent?.children.at(idx)
+                      if (!element) break
+                      if (element.type !== "element") {
+                        idx -= 1
+                      } else {
+                        if (!Object.keys(file.data.blocks!).includes(block)) {
+                          element.properties = {
+                            ...element.properties,
+                            id: block,
+                          }
+                          file.data.blocks![block] = element
+                        }
+                        return
+                      }
+                    }
+                  } else {
+                    // normal paragraph transclude
+                    if (!Object.keys(file.data.blocks!).includes(block)) {
+                      node.properties = {
+                        ...node.properties,
+                        id: block,
+                      }
+                      file.data.blocks![block] = node
+                    }
+                  }
+                }
+              }
+            }
+          })
+
+          file.data.htmlAst = tree
+        }
+        return plug
+      }
+      return {} as Pluggable
+    },
+    externalResources() {
+      const js = {} as JSResource
+      return js
+    },
+  }
+}
diff --git a/quartz/plugins/parsers/obsidian/index.ts b/quartz/plugins/parsers/obsidian/index.ts
index 4c37fe3c0..a54406941 100644
--- a/quartz/plugins/parsers/obsidian/index.ts
+++ b/quartz/plugins/parsers/obsidian/index.ts
@@ -1,4 +1,5 @@
 export { ObsidianArrow } from "./arrows"
+export { ObsidianBlockReference } from "./blockreference"
 export { ObsidianCallouts } from "./callouts"
 export { ObsidianCheckboxes } from "./checkboxes"
 export { ObsidianComments } from "./comments"
diff --git a/quartz/plugins/transformers/markdown.ts b/quartz/plugins/transformers/markdown.ts
index 6c54df83c..bb19d51dd 100644
--- a/quartz/plugins/transformers/markdown.ts
+++ b/quartz/plugins/transformers/markdown.ts
@@ -39,6 +39,7 @@ import { GitHubLinkheadings, GitHubSmartypants } from "../parsers/github"
 
 import {
   ObsidianArrow,
+  ObsidianBlockReference,
   ObsidianCallouts,
   ObsidianCheckboxes,
   ObsidianComments,
@@ -323,6 +324,9 @@ export const ObsidianFlavoredMarkdown: QuartzTransformerPlugin<Partial<ObsidianO
     htmlPlugins() {
       const plugins: PluggableList = [rehypeRaw]
 
+      plugins.push(
+        ObsidianBlockReference({ enabled: opts.parseBlockReferences }).htmlPlugins() as Pluggable,
+      )
       plugins.push(ObsidianYouTube({ enabled: opts.enableYouTubeEmbed }).htmlPlugins() as Pluggable)
       plugins.push.apply(
         ObsidianCheckboxes({ enabled: opts.enableCheckbox }).htmlPlugins() as Pluggable[],