Whether its a GREYD.SUTIE Dynamic Post Type or a WordPress standard post type (e.g. posts) – categories can can have a hierarchy. All you have to do is select a parent category when creating a child category.
![Post Category Editing in WordPress](https://s3.amazonaws.com/helpscout.net/docs/assets/633fe4617d798e2cbfa12154/images/646f29fb549b2b747a06a1ee/file-3uy38TJYNl.png)
![Category Settings in WordPress](https://s3.amazonaws.com/helpscout.net/docs/assets/633fe4617d798e2cbfa12154/images/646f29ec4089fa4863e22d42/file-SnYSkSun0Z.png)
Make sure to enable the Hierarchy-Option when creating a GREYD.SUITE Dynamic Post Type with custom taxonomies if you want them to be hierarchical as well.
![Backend view of Dynamic Post Type Creation in GREYD.SUITE](https://s3.amazonaws.com/helpscout.net/docs/assets/633fe4617d798e2cbfa12154/images/646f2a884089fa4863e22d44/file-sSKephrRSU.png)