How to make beads with scrap yarn

I made this necklace back in 2012 and I can't believe I still have it! After 14 years, it is still going strong! Back then I was hooked on using my leftover yarn and turn it into beads, and frankly, I kind of miss indulging into this activity. 

However, one of my goals this year is to give a visual life to many of my past projects, so I've already made a video for these woollies if you'd like to try your hand at them. The video is here.