Digital image correlation (DIC) technology can capture strain anomalies and predict crack initiation providing early warning of material failure. Herein, DIC technique is used to calculate the full‐field strain by analyzing the grayscale patterns of speckle images during the tensile process. This allowed for an analysis of the microstructure evolution of the 316LN austenitic stainless steel (SS) at cryogenic temperatures. Deformation behavior of the 316LN SS at cryogenic temperatures is further analyzed using electron backscatter diffraction technology and transmission electron microscopy. Based on the strain field obtained by the DIC technique, a comprehensive analysis of the martensite volume fraction at different strains can be conducted. The results show that the strain localization under cryogenic deformation is related to martensitic transformation, while the random distribution of slip bands aligns with local strain peak values. Notably, fracture under cryogenic deformation occurs in regions where the strain field reaches its peak, rather than at locations with the maximum strain value.