Elton and Sarah Potts, alongside John and Lisa Arnold, launched "It's Only 5" in March 2022, claiming a base in Detroit, Michigan. The scheme invites participants to invest $5 into a matrix cycler, promising payouts the company advertises can reach into the tens of millions of dollars through a nine-tier structure. The website domain, "itsonly5.com", was privately registered on March 19, 2022.

The Potts and Arnolds show little prior prominence in the multi-level marketing industry. Elton Potts and John Arnold Sr. previously promoted B-Eco earlier this year, a venture that did not succeed. Potts also promoted various cryptocurrency scams on Telegram last year. He participated in the iHub Global HNT mining scheme, a failed enterprise. Arnold Sr. also joined the iHub Global grift, likely where he met Potts. The two created the Facebook group "Survive and Thrive" in November 2021.

Guillermo Joya is named It's Only 5's Training & Media Manager. Joya has a history of promoting known MLM Ponzi schemes. These include CashFX Group and Cloud Token. The Potts reside in Michigan, the Arnolds in Texas, and Joya in Colombia, indicating a geographically dispersed leadership.

It's Only 5 offers no retail products or services. Affiliates market only the It's Only 5 affiliate membership itself. This lack of genuine retail sales distinguishes it from legitimate direct selling operations.

The compensation plan requires affiliates to purchase $6 positions to enter a nine-tier matrix cycler. It's Only 5 retains $1 of this buy-in as an administration fee. The remaining $5 funds the cycler. The scheme uses 2x3 matrices. Each matrix places an affiliate at the top, with two positions directly beneath forming the first level. These two positions each split into two more, creating four positions on the second level. The third level similarly houses eight positions. A complete 2x3 matrix holds fourteen positions in total.

Positions in the matrix fill as other directly and indirectly recruited It's Only 5 affiliates purchase their own positions. A "cycle" triggers once all fourteen positions in a matrix are filled. Cycle commissions vary across the nine tiers.

In Round 1, Tier 1 positions cost $6 and yield a $19 commission, also generating a new Round 1 Tier 2 position. Tier 2 cycles pay $105 and generate a Tier 3 position. Tier 3 pays $143, leading to a Tier 4 position. Tier 4 provides $1476 and generates a Tier 5 position. Tier 5 offers $1653, generates two hundred new Round 1 Tier 1 positions, and a new Round 1 Tier 6 position. Tier 6 cycles pay $4555, generate another two hundred new Round 1 Tier 1 positions, and a Tier 7 position. Tier 7 provides $10,275, generates two hundred new Round 1 Tier 1 positions, and a Tier 8 position. Tier 8 commissions are $23,600.

This "pay-to-play" model, where revenue comes solely from new affiliate recruitment rather than product sales, aligns with the definition of a pyramid scheme under federal trade regulations. The re-entry mechanic, where higher tiers generate hundreds of new entry-level positions, ensures a constant demand for new participants to keep the lower tiers cycling. This structure funnels money upwards to the top affiliates. The entire system relies on a continuous influx of new money, making it inherently unsustainable.

The Federal Trade Commission frequently issues warnings against such schemes, advising consumers to verify that a company sells genuine products or services to external customers, rather than relying solely on recruitment fees.