Not that I believe this Israeli guy in any way whatsoever, but:
Think about it: why would a galactic spanning
organisation be called "Galactic Federation"?
Seems reasonable. Might even be the only reasonable part of the story!
Imagine you were in charge of such a galaxy-spanning organization, encompassing multiple worlds, species, and cultures. Needless to say, communication in general and naming things in particular would be quite the challenge.
Literal names and clarity are probably the primary things you want to really value there.
Particularly if you're in charge of saying "hello" to a new species (humans, in this case) who are likely to find the experience a bit overwhelming. There's more than enough new information for them to absorb, right? Keep things as simple as possible.
Yeah, "Galactic Federation" sounds about right.