diff --git a/.gitignore b/.gitignore
index e383887..dcfe864 100644
--- a/.gitignore
+++ b/.gitignore
@@ -4,6 +4,13 @@ npm-debug.log
 yarn-debug.log
 yarn-error.log
 
+# Logs
+logs
+*.log
+
+# Internal AI memory/log
+knowledge.md
+
 # Environment Variables
 .env
 .env.local
diff --git a/src/schemas.ts b/src/schemas.ts
index 0d2518f..a492989 100644
--- a/src/schemas.ts
+++ b/src/schemas.ts
@@ -32,7 +32,28 @@ export const ReplyToForumSchema = z.object({
 export const CreateTextChannelSchema = z.object({
     guildId: z.string(),
     channelName: z.string(),
-    topic: z.string().optional()
+    topic: z.string().optional(),
+    reason: z.string().optional()
+});
+
+// Category schemas
+export const CreateCategorySchema = z.object({
+    guildId: z.string(),
+    name: z.string(),
+    position: z.number().optional(),
+    reason: z.string().optional()
+});
+
+export const EditCategorySchema = z.object({
+    categoryId: z.string(),
+    name: z.string().optional(),
+    position: z.number().optional(),
+    reason: z.string().optional()
+});
+
+export const DeleteCategorySchema = z.object({
+    categoryId: z.string(),
+    reason: z.string().optional()
 });
 
 export const DeleteChannelSchema = z.object({
diff --git a/src/server.ts b/src/server.ts
index 5b6b709..93974c9 100644
--- a/src/server.ts
+++ b/src/server.ts
@@ -26,7 +26,10 @@ import {
   createWebhookHandler,
   sendWebhookMessageHandler,
   editWebhookHandler,
-  deleteWebhookHandler
+  deleteWebhookHandler,
+  createCategoryHandler,
+  editCategoryHandler,
+  deleteCategoryHandler
 } from './tools/tools.js';
 import { MCPTransport } from './transport.js';
 import { info, error } from './logger.js';
@@ -71,6 +74,15 @@ export class DiscordMCPServer {
       try {
         let toolResponse;
         switch (name) {
+          case "discord_create_category":
+            toolResponse = await createCategoryHandler(args, this.toolContext);
+            return toolResponse;
+          case "discord_edit_category":
+            toolResponse = await editCategoryHandler(args, this.toolContext);
+            return toolResponse;
+          case "discord_delete_category":
+            toolResponse = await deleteCategoryHandler(args, this.toolContext);
+            return toolResponse;
           case "discord_login":
             toolResponse = await loginHandler(args, this.toolContext);
             // Check the client state after login
diff --git a/src/toolList.ts b/src/toolList.ts
index 732aa24..bf4b939 100644
--- a/src/toolList.ts
+++ b/src/toolList.ts
@@ -1,4 +1,44 @@
 export const toolList = [
+  {
+    name: "discord_create_category",
+    description: "Creates a new category in a Discord server.",
+    inputSchema: {
+      type: "object",
+      properties: {
+        guildId: { type: "string" },
+        name: { type: "string" },
+        position: { type: "number" },
+        reason: { type: "string" }
+      },
+      required: ["guildId", "name"]
+    }
+  },
+  {
+    name: "discord_edit_category",
+    description: "Edits an existing Discord category (name and position).",
+    inputSchema: {
+      type: "object",
+      properties: {
+        categoryId: { type: "string" },
+        name: { type: "string" },
+        position: { type: "number" },
+        reason: { type: "string" }
+      },
+      required: ["categoryId"]
+    }
+  },
+  {
+    name: "discord_delete_category",
+    description: "Deletes a Discord category by ID.",
+    inputSchema: {
+      type: "object",
+      properties: {
+        categoryId: { type: "string" },
+        reason: { type: "string" }
+      },
+      required: ["categoryId"]
+    }
+  },
   {
     name: "discord_login",
     description: "Logs in to Discord using the configured token",
diff --git a/src/tools/channel.ts b/src/tools/channel.ts
index 79db5b9..78d55df 100644
--- a/src/tools/channel.ts
+++ b/src/tools/channel.ts
@@ -5,16 +5,113 @@ import {
   CreateTextChannelSchema, 
   DeleteChannelSchema, 
   ReadMessagesSchema,
-  GetServerInfoSchema
+  GetServerInfoSchema,
+  CreateCategorySchema,
+  EditCategorySchema,
+  DeleteCategorySchema
 } from "../schemas.js";
 import { handleDiscordError } from "../errorHandler.js";
 
+  // Category creation handler
+export async function createCategoryHandler(
+  args: unknown,
+  context: ToolContext
+): Promise<ToolResponse> {
+  const { guildId, name, position, reason } = CreateCategorySchema.parse(args);
+  try {
+    if (!context.client.isReady()) {
+      return {
+        content: [{ type: "text", text: "Discord client not logged in. Please use discord_login tool first." }],
+        isError: true
+      };
+    }
+    const guild = await context.client.guilds.fetch(guildId);
+    if (!guild) {
+      return {
+        content: [{ type: "text", text: `Cannot find guild with ID: ${guildId}` }],
+        isError: true
+      };
+    }
+    const options: any = { name, type: ChannelType.GuildCategory };
+    if (typeof position === "number") options.position = position;
+    if (reason) options.reason = reason;
+    const category = await guild.channels.create(options);
+    return {
+      content: [{ type: "text", text: `Successfully created category "${name}" with ID: ${category.id}` }]
+    };
+  } catch (error) {
+    return handleDiscordError(error);
+  }
+}
+
+// Category edit handler
+export async function editCategoryHandler(
+  args: unknown,
+  context: ToolContext
+): Promise<ToolResponse> {
+  const { categoryId, name, position, reason } = EditCategorySchema.parse(args);
+  try {
+    if (!context.client.isReady()) {
+      return {
+        content: [{ type: "text", text: "Discord client not logged in. Please use discord_login tool first." }],
+        isError: true
+      };
+    }
+    const category = await context.client.channels.fetch(categoryId);
+    if (!category || category.type !== ChannelType.GuildCategory) {
+      return {
+        content: [{ type: "text", text: `Cannot find category with ID: ${categoryId}` }],
+        isError: true
+      };
+    }
+    const update: any = {};
+    if (name) update.name = name;
+    if (typeof position === "number") update.position = position;
+    if (reason) update.reason = reason;
+    await category.edit(update);
+    return {
+      content: [{ type: "text", text: `Successfully edited category with ID: ${categoryId}` }]
+    };
+  } catch (error) {
+    return handleDiscordError(error);
+  }
+}
+
+// Category deletion handler
+export async function deleteCategoryHandler(
+  args: unknown,
+  context: ToolContext
+): Promise<ToolResponse> {
+  const { categoryId, reason } = DeleteCategorySchema.parse(args);
+  try {
+    if (!context.client.isReady()) {
+      return {
+        content: [{ type: "text", text: "Discord client not logged in. Please use discord_login tool first." }],
+        isError: true
+      };
+    }
+    const category = await context.client.channels.fetch(categoryId);
+    if (!category || category.type !== ChannelType.GuildCategory) {
+      return {
+        content: [{ type: "text", text: `Cannot find category with ID: ${categoryId}` }],
+        isError: true
+      };
+    }
+    await category.delete(reason || "Category deleted via API");
+    return {
+      content: [{ type: "text", text: `Successfully deleted category with ID: ${categoryId}` }]
+    };
+  } catch (error) {
+    return handleDiscordError(error);
+  }
+}
+
   // Text channel creation handler
 export async function createTextChannelHandler(
   args: unknown, 
   context: ToolContext
 ): Promise<ToolResponse> {
-  const { guildId, channelName, topic } = CreateTextChannelSchema.parse(args);
+  const { guildId, channelName, topic, reason } = CreateTextChannelSchema.parse(args);
   try {
     if (!context.client.isReady()) {
       return {
@@ -32,11 +129,13 @@ export async function createTextChannelHandler(
     }
 
     // Create the text channel
-    const channel = await guild.channels.create({
+    const channelOptions: any = {
       name: channelName,
-      type: ChannelType.GuildText,
-      topic: topic
-    });
+      type: ChannelType.GuildText
+    };
+    if (topic) channelOptions.topic = topic;
+    if (reason) channelOptions.reason = reason;
+    const channel = await guild.channels.create(channelOptions);
 
     return {
       content: [{ 
diff --git a/src/tools/tools.ts b/src/tools/tools.ts
index 1ae1fe4..4540b62 100644
--- a/src/tools/tools.ts
+++ b/src/tools/tools.ts
@@ -14,7 +14,10 @@ import {
   createTextChannelHandler,
   deleteChannelHandler,
   readMessagesHandler,
-  getServerInfoHandler
+  getServerInfoHandler,
+  createCategoryHandler,
+  editCategoryHandler,
+  deleteCategoryHandler
 } from './channel.js';
 import {
   addReactionHandler,
@@ -49,7 +52,10 @@ export {
   createWebhookHandler,
   sendWebhookMessageHandler,
   editWebhookHandler,
-  deleteWebhookHandler
+  deleteWebhookHandler,
+  createCategoryHandler,
+  editCategoryHandler,
+  deleteCategoryHandler
 };
 
 // Export common types