I've spend several holidays on absolutely beautiful Thera as it is called by the locals (not Santorini) and I can attest to the fact that whatever happened was monumental...the crater is huge and the ash from that long ago earthquake still covers many of the beaches there.
Vegetables grown on Thera are delectable - the best tomatoes I have ever tasted. I guess it must be the volcanic soil.
In the 1300's Thera was owned by a Jewish guy named Joseph Nazi. No kidding.