[4][5] Krasneno's name literally means "red", although old maps show the village as "Krasnyano", meaning rich or abundant in the Russian Old Believers' dialect, in reference to fish stocks nearby.

[3] Historically, the area was known for abundant fishing, with Beluga whale and Ringed seal entering the lake from Anadyrsky Liman.

[10] Due to its proximity to the former Anadyrsk ostrog (fortress), the area was famous for trade fairs between Russians and Chukchi.

[6] Krasneno has a general store, a primary school, a post office, and a cultural center.

[3] The economy is centered on traditional hunting and fishing,[3] as the majority of the population is indigenous.