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In this paper we consider the problem of node positioning in ad-hoc networks. We propose a distributed, infrastructure-free positioning algorithm that does not rely on Global Positioning System (GPS). The algorithm uses the distances between the nodes to build a relative coordinate system in which the node positions are computed in two dimensions. The main contribution of this work is to define and compute relative positions of the nodes in an ad-hoc network without using GPS. We further explain how the proposed approach can be applied to wide area ad-hoc networks.