Picture of what was inside. Sorry if this seems like a dumb question.

Was the "balloon" at the leading end of the spike, because in the photo it looks like a shriveled up bud. In that case they would not be seeds. i hope the plant is otherwise healthy. J

The plant is healthy and no it is where the flowers were. sorry about the "flow invaded" was on my phone and I guess I got autocorrected wrong haha.

The balloon like thing was an aborted flower. The two yellow things the pen is pointing to are pollen sacs. These Phals use insects to carrying the pollen on their backs to another orchid and fertilize it. The seeds would then form on the back stem of the flower. The seeds are very tiny and need a good site to germinate and start a new plant. People have found that because of the size of an orchid seed it's most cost effective to start new plants in a sterile medium. It then usually takes about 3-5 years for a plant to flower. That's why orchids are expensive. We like them because of their great flowers and difficulty to give them the conditions they need to grow and rebloom.