A Mw 6.6 earthquake struck Menyuan, Qinghai, China, on 7 January 2022. To determine the rupture parameters of this event, the coseismic InSAR deformation fields were mapped and further employed to estimate the focal mechanism. The best-fitting solution emphasized that the 2022 Menyuan earthquake ruptured at the junction of the Tuolaishan fault and the Lenglongling fault. Both rupturing faults were dominated by sinistral strike-slip, and the main slip was concentrated on the shallow part of the rupture plane. The latter was the main rupture segment with a strike of 106° and a dip of 86°. The slip mainly occurred at depths of 0–8 km, and the rupture was exposed at the surface. The maximum slip reached ~3.5 m, which occurred mainly at a depth of 4 km. Joint analysis of the optimal slip model, relocated aftershocks, Coulomb stress change, and field observation suggested that the strain energy in the Tuolaishan fault may not have been fully released and needs further attention. Moreover, the 2022 Mw6.6 Menyuan earthquake caused a significant stress loading effect on the western Tuolaishan fault and eastern Lenglongling fault, which implies that the 2022 event increased the seismic hazard in these regions.