When you have created a campaign with the Refer a Friend template, you have several options for rewarding your superfans for referring their friends.

One of the rewarding options of the Refer a Friend template is API rewarding, where rewarding is handled automatically by your web app. 

This is useful in cases where the rewards are (usually but not necessarily) intangible and specific to your business. 

For example, if you are Dropbox, you will want to be providing 500 MB to each user that refers one friend to sign-up and 500 MB to each invitee as well. 

When someone has been referred to your campaign and you have set the Invitee Reward (eg. 500 MB) then when this person signs-up to your campaign, a pending reward is created for them.

A pending reward is a reward that has not yet been provided by your web app. 

The same goes for their referrer. When the invitee signs-up, a pending reward is created for the referrer as well.

Now, all you need to do is to actually provide these rewards. Here's how.
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We have a dedicated portal for our API documentation. You can find it here:

Viral Loops API Documentation

That's all.
Do you need more help? Let us know!