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Santorini was once a skyscraping, cone-shaped volcanic island.
This massive eruption blew it up. The high walls of the volcano collapsed, creating what is called a caldera. That term defines a wide ring-shaped land mass formed by the collapsed walls of a volcano. There is a large cavity in its center.

That early ring had at least one opening that allowed the Aegean Sea to surge in and fill the cavity. This created the Santorini Caldera Bay.
One was between 1650 and 1500 BC (scientists disagree on the exact date). That eruption physically reshaped Santorini and enlarged the bay's opening to the Aegean Sea.
You can see the broken land ring and the caldera bay as they appear today. The darkish islets you see in the center of the caldera bay are small volcanoes. The largest one is named Nea Kameni Island. It rose above the water surface several centuries ago and is still active.
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