Great questions regarding WordPress Categories and posting to WordPress via email. I'm sorry but I wouldn't be able to set this up for you as I do not have access to your WordPress dashboard and we wouldn't want you to provide that information in this public venue.
I want to begin by explaining a little about Categories in WordPress. Posts Categories are subjects you set up for grouping your posts. For more information about Categories in WordPress please see this page from the WordPress Codex:
The area on your site where you have links to other sites is your links/blogroll area. The space category you have setup there is a Link Category, which is a separate set of categories for your links/blogroll (not the same as Posts Categories).
In order to post via email, I would recommend installing the Postie plugin as it is easier to configure than the standard Post via E-mail settings in WordPress. For more information specific to this plugin, please see the WordPress Codex page for Postie.
For step-by-step instructions on how to search for and install a plugin in your WordPress site, please see our Installing Wordpress Plugins article.
Please let us know if you have any questions while setting this up or need any additional assistance.
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