Galata is located at the north side of the Golden Horn, towards Taksim Square. Galata was surrounded by walls, constructed by the Genoese, until the 19th century. These walls started at Azapkapi near the Golden Horn. The Galata Tower was the northernmost observation tower and the walls go down to Tophane from this point.

Its name was "Sykai" (Fig field) during the Byzantine period. It also was called "Peran en Sykais" in Greek, which means fig field of the other side. Its name "Pera" which was used by the Levantines came from this origin. The origin of Galata was either "galaktos" (milk) in Greek or "calata" (stairway) in Italian.

Galata is on the European side of Istanbul both geographically and culturally. It was established as a western, Latin and Catholic colony right next to Constantinople, capital of the Eastern Orthodox Byzantine Empire. Its governments changed hands between Venetians and Genoese, but it always remained Latin and Catholic. This did not change after the conquest of Istanbul. However, Sultan Mehmed the Conqueror made this a residential area for Greeks and Jews. Even though this made Galata a non-Latin place, it was still a non- Muslim area next to the capital of Islam.

Therefore, "the other side" does not only mean the other side of Golden Horn, but it also means other side culturally. Sometimes the people of Galata sided with the enemies of Istanbul. The first time Galata betrayed the locals was when the Latin Crusades occupied Istanbul in 1204. Galata helped the Latins during this occupation, and Istanbul was pillaged by Latins. That incident was one of the reasons of the decline of the Byzantine Empire.

Galata was not faithful to the Ottoman Empire either. Galata was an important center to govern the " capitulations" which caused the decline of the Ottoman Empire. The Empire had a large debt from Galata's bankers since the beginning of the 19th century and that economically pillaged the Empire. Also Greek bankers of Galata supported Greece in its independence from the Empire.

http://www.allaboutturkey.com/galata.htm