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In this YouTube video tutorial, the speaker explains how to convert binary code to text. Computers use a non-binary system consisting of zeros and ones. Each letter typed on a keyboard corresponds to a decimal value on the ASCII table, which is then represented by binary code. For example, the capital letter "C" has a decimal value of 67, represented in seven bits. To read binary code without a chart, the first three digits determine if it's uppercase or lowercase. If it starts with 010, it's uppercase, and if it starts with 011, it's lowercase. The remaining digits correspond to the numerical order of that letter in the alphabet. The value 3 would equal the third letter, which is "C" in this case.