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The miner adds the relevant block reward to himself (i.e. 12.5 bitcoin as of now) in something called the coinbase transaction.
Where do these 12.5 bitcoins come from? Does it comes from bitcoin treasury? If yes, then how is it issued?
Could I get a less-technical and self explanatory answer please?
Note that my question is not sufficiently answered on Where does the money I get from mining bitcoin come from? which was suggested as a potential duplicate.
There is no treasury. The Bitcoin is generated out of nothing. The coinbase transaction has special rules. It is allowed to have only one input which has no previous output and really no value. It is allowed to create outputs which have a total value of the block subsidy (currently 12.5 BTC) plus the transaction fees from that block. Those coins aren't issued by any entity; the miner just creates the output(s) and is allowed to do so. This rule is enforced by all of the full nodes on the network who will reject that miner's block if he pays himself too much money.
Simply put, the miner is allowed to just pay himself money that is produced out of nothing.
As Andrew Chow already explained, there is no treasury for bitcoin.
Any bitcoin amount in existence must be back-traceable through the whole blockchain to a valid origin. The only place where a transaction can validly output bitcoins that it didn't consume as input, is the miner's reward. So every amount in use can eventually be traced back to the so-called "coinbase transaction" (the miner's reward) of some block in the bitcoin history. The bitcoin rules limit the coinbase amount to currently 12.5 BTC, and if some miner tries to output more from a coinbase transaction, the others wouldn't accept that block, rendering his bitcoins invalid.
They are not issued, they are created by the mining process. The specification defines precisely what it means for a bitcoin to exist. Prior to the block being mined, those bitcoins did not exist. But after that block is mined, because they meet the specification, they are now bitcoins (or, to be more precise, will be in the near future). Anyone who follows the specification will accept them as comparable to all other bitcoins previously in existence.
They are not issued, they are created by the mining process. The specification defines precisely what it means for a bitcoin to exist. Prior to the block being mined, those bitcoins did not exist. But after that block is mined, because they meet the specification, they are now bitcoins (or, to be more precise, will be in the near future). Anyone who follows the specification will accept them as compared to all other bitcoins previously in existence. (think of it this way): when a person buys bitcoin on a website like Coinbase or the like, the transaction costs them a fee to purchase a portion of an existing bitcoin and that is how the company selling the coin makes money.... but the transaction also includes a hidden fee, a "mining fee" that is when enough transactions are made by a number of individuals----->the total hidden fees equal 12.5 bitcoins of worth at the current valuation of a bitcoin {a new BLOCK is created}. When miners, who are basically confirming the transactions by themselves or as a pool confirm a BLOCK as true they get a share of that 12.5 bitcoin that was stored in the block. These hidden fees are generated when a "slice" of a bitcoin is added to the BLOCK REWARD as an attribute. it's like every purchase was done by debit card has a small fee yet a portion of a penny is placed in a jar for the bitcoin miners reward for confirming the transactions. So the bitcoin miners don't create anything out of midair. They are being paid for doing the credit card companies job of confirming those blocks actually happened and the balances in a way. The bitcoin core being in multiplex helps confirm the source has enough to transfer and the transfer includes a mining a.k.a. confirmation fee of sorts.
