What is SwagBucks? SwagBucks is a search engine you use and win "swagbucks" randomly. You don't always win them every time you search, and the amounts are randomized. I've even won 38 swagbucks while searching.
You also earn per referral. Each referral you have, you earn from their searching/surveys/offers/etc. The prizes are totally legit, you can even have $5 from PayPal. The prizes take a little while to process, but free prizes just for searching? Sweet deal.