In an interview with Clash Music, he said he thought independence would be "dangerous".
King Creosote created the music for From Scotland With Love, a film made as part of the celebrations of the Commonwealth Games, and was nominated for a Mercury Prize for his 2011 album with Jon Hopkins, Diamond Mine.
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In the interview Anderson, who set up Fence Records in 1997 to release work by what became known as the Fence Collective, says: "People shouldn't be thinking about what it would be like to be apart from England. They should be thinking about what it means to be Scottish.
"I'm definitely in the no camp because I don't think there's an argument for independence.
"Glasgow or Edinburgh can't be a Scottish London. London is a portal for the world, and Glasgow or Edinburgh isn't. All it will do is create another level of bureaucracy and that's not going to change anything. It's dangerous.
"The Scots are pretty good at being the reserve team - all five million of us. And Scots don't get behind our own. We don't accept our failures. We need someone to blame and if that's not Westminster, who is it? If Scotland is going to be an oasis in a UK hell, why can't we share it?"
He adds: "In an ocean of sharks, we don't need to be a smaller shoal. I really despair at it. And anyway, do we really want to be in a country that seems further away from Jon Hopkins? I don't!"
King Creosote is among few prominent Scottish artists to be open about voting No in September.