LuTan-1 (LT-1) satellite constellation is used to conduct surface deformation monitoring. Following the successful launch of two satellites, we began to use the independently developed LandSAR software for differential interferometric data processing and application at the beginning of 2022. In this paper, we tested the LandSAR software by assessing the DInSAR and stacking modules. We used 21 LT-1 single look complex (SLC) images from December 2022 to May 2023 to conduct DInSAR and stacking processing of Datong City, Shanxi Province. DInSAR revealed more subsidence funnels and larger relative deformation values compared to stacking. We tested the DInSAR technology with different parameter combination. Results show that multi-looking factor is the most important to detect the deformation details because of the phase gradient limitation of DInSAR. Compared multi-looking ratios of 2×2 and 4×4, the subsiding funnels that were detected decreased from 60 to 47. After deep testing and assessment, we found that the linear model used by stacking affects the result severely, meaning that most of the subsidence of coal mines were not linear. Stacking only found 32 subsidence funnels which were active coal mines during our observation time. The test result show that LandSAR was compatible for DInSAR and stacking. And it is useful to observe linear and nonlinear deformation in the coal mine regions.