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Yes, this is a true. Shareapic provides you a platform where you can create your account and upload pics. On the page where your image is stored, Google ads will be displayed and whatever money you earn can be transferred to you through PayPal. Apart from that, the best option is that if you have an Adsense account with Google then you need to provide your Publisher ID and all you have to do is upload and share pics. Whatever be the amount of money you earn, that will be credited directly in your Adsense account.
Firstly, you need to create an account in Shareapic, and then upload images and create a Gallery. You can now share these pics and the complete gallery with anyone you want. Images are shared only as Thumbnails, and to get an enlarged view, user needs to click on the image which will then take him to the appropriate page which further include Google Ads.
If you don’t have a Google Adsense account then in that case this site gives you another option. You get a .22$ credit per 1000 impressions or views of your images. According to the site, you are free to give away the links anywhere.
But it’s better to have an Adsense account rather then to receive payments through paypal. This site makes sure that everyone gets good chances of earning money and increases the page views.
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Now this is something to look forward to
. LOL, now I’ll host all my blog images there 
This is a great service . But I still have doubts for two reason. 1st putting my adsense account code for the site I dont own . And Second it should not violate TOS of adsense. I dont know whether its allowed to publish adsense adds on a public site. Does anyone know about this ??
@ Harris : I wont recommend you that if you are taking it seriously. they might not provide that kind of service as a single server can provide.
@ kanak : Yes, putting a code that we dont own is still unanswerable, but as per the site it is perfectly Ok with the Google TOS. Its just that the ads will be placed in a particular format only, but the code is the only thing that will be changed.