With the increasing influence of digital network and communication, armour from perilous intrusion and corruption of information (e.g. image, video, speech etc) during transmission is a paramount issue. To protect the image and video from the unauthenticated access or tampering, watermarking is adopted as a solution. In this paper we have proposed a spatial domain Spread Spectrum (SS) watermarking scheme using binary watermark which effectively eliminates security problem while increasing robustness and enhancing perceptual quality of watermarked image. Hardware implementation of the proposed digital image watermarking algorithm using Field Programmable Gate Array (FPGA) has been accomplished.