Currently project categories cannot be used to create project hierarchies (such as parent projects). One plugin that may meet this need was mentioned recently by another Community user and that is Projects Organizer for JIRA.
I would recommend going to JAC and creating a Suggestion request. In your description add the use case and any other relevant information. This will put this request in front of the developers and will can consider adding this feature in the future.
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...attest to the experience of an urgent approval that gets lost in the boss’s inbox and requires that special “Please Approve” email or text message. In an age where we have distributed teams...
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