diff --git a/conversions/binary_to_gray_code.py b/conversions/binary_to_gray_code.py
new file mode 100644
index 000000000000..494cad66f503
--- /dev/null
+++ b/conversions/binary_to_gray_code.py
@@ -0,0 +1,224 @@
+"""
+Convert between Binary and Gray Code representations.
+
+Gray Code (also known as reflected binary code) is a binary numeral system where
+two successive values differ in only one bit. This property makes it useful in
+error correction, digital communications, and position encoders.
+
+Wikipedia: https://en.wikipedia.org/wiki/Gray_code
+"""
+
+
+def binary_to_gray(binary_number: int) -> int:
+    """
+    Convert a binary number to its Gray Code equivalent.
+
+    The algorithm works by XORing the binary number with itself right-shifted by 1.
+    Formula: gray = binary XOR (binary >> 1)
+
+    Args:
+        binary_number: A positive integer representing a binary number
+
+    Returns:
+        The Gray Code equivalent as an integer
+
+    Examples:
+    >>> binary_to_gray(0)
+    0
+    >>> binary_to_gray(1)
+    1
+    >>> binary_to_gray(2)
+    3
+    >>> binary_to_gray(3)
+    2
+    >>> binary_to_gray(4)
+    6
+    >>> binary_to_gray(7)
+    4
+    >>> binary_to_gray(10)
+    15
+    >>> binary_to_gray(15)
+    8
+    >>> binary_to_gray(255)
+    128
+    >>> binary_to_gray(-1)
+    Traceback (most recent call last):
+        ...
+    ValueError: Input must be a non-negative integer
+    >>> binary_to_gray(3.5)
+    Traceback (most recent call last):
+        ...
+    TypeError: Input must be an integer
+    """
+    if not isinstance(binary_number, int):
+        raise TypeError("Input must be an integer")
+    if binary_number < 0:
+        raise ValueError("Input must be a non-negative integer")
+
+    return binary_number ^ (binary_number >> 1)
+
+
+def gray_to_binary(gray_number: int) -> int:
+    """
+    Convert a Gray Code number to its binary equivalent.
+
+    The algorithm works by repeatedly XORing the gray code with itself right-shifted,
+    until the right-shifted value becomes 0.
+
+    Args:
+        gray_number: A positive integer representing a Gray Code number
+
+    Returns:
+        The binary equivalent as an integer
+
+    Examples:
+    >>> gray_to_binary(0)
+    0
+    >>> gray_to_binary(1)
+    1
+    >>> gray_to_binary(3)
+    2
+    >>> gray_to_binary(2)
+    3
+    >>> gray_to_binary(6)
+    4
+    >>> gray_to_binary(4)
+    7
+    >>> gray_to_binary(15)
+    10
+    >>> gray_to_binary(8)
+    15
+    >>> gray_to_binary(128)
+    255
+    >>> gray_to_binary(-1)
+    Traceback (most recent call last):
+        ...
+    ValueError: Input must be a non-negative integer
+    >>> gray_to_binary(5.5)
+    Traceback (most recent call last):
+        ...
+    TypeError: Input must be an integer
+    """
+    if not isinstance(gray_number, int):
+        raise TypeError("Input must be an integer")
+    if gray_number < 0:
+        raise ValueError("Input must be a non-negative integer")
+
+    binary_number = gray_number
+    gray_number >>= 1
+
+    while gray_number:
+        binary_number ^= gray_number
+        gray_number >>= 1
+
+    return binary_number
+
+
+def decimal_to_gray(decimal_number: int) -> str:
+    """
+    Convert a decimal number to its Gray Code representation as a binary string.
+
+    Args:
+        decimal_number: A positive integer in decimal
+
+    Returns:
+        Gray Code representation as a binary string
+
+    Examples:
+    >>> decimal_to_gray(0)
+    '0'
+    >>> decimal_to_gray(1)
+    '1'
+    >>> decimal_to_gray(2)
+    '11'
+    >>> decimal_to_gray(3)
+    '10'
+    >>> decimal_to_gray(4)
+    '110'
+    >>> decimal_to_gray(10)
+    '1111'
+    >>> decimal_to_gray(15)
+    '1000'
+    >>> decimal_to_gray(-1)
+    Traceback (most recent call last):
+        ...
+    ValueError: Input must be a non-negative integer
+    """
+    if not isinstance(decimal_number, int):
+        raise TypeError("Input must be an integer")
+    if decimal_number < 0:
+        raise ValueError("Input must be a non-negative integer")
+
+    gray_code = binary_to_gray(decimal_number)
+    return bin(gray_code)[2:]  # Remove '0b' prefix
+
+
+def gray_to_decimal(gray_string: str) -> int:
+    """
+    Convert a Gray Code binary string to its decimal equivalent.
+
+    Args:
+        gray_string: A string of 0s and 1s representing Gray Code
+
+    Returns:
+        The decimal equivalent as an integer
+
+    Examples:
+    >>> gray_to_decimal('0')
+    0
+    >>> gray_to_decimal('1')
+    1
+    >>> gray_to_decimal('11')
+    2
+    >>> gray_to_decimal('10')
+    3
+    >>> gray_to_decimal('110')
+    4
+    >>> gray_to_decimal('1111')
+    10
+    >>> gray_to_decimal('1000')
+    15
+    >>> gray_to_decimal('invalid')
+    Traceback (most recent call last):
+        ...
+    ValueError: Invalid binary string
+    >>> gray_to_decimal('')
+    Traceback (most recent call last):
+        ...
+    ValueError: Input string cannot be empty
+    """
+    if not gray_string:
+        raise ValueError("Input string cannot be empty")
+
+    # Validate binary string
+    if not all(bit in "01" for bit in gray_string):
+        raise ValueError("Invalid binary string")
+
+    gray_number = int(gray_string, 2)
+    return gray_to_binary(gray_number)
+
+
+if __name__ == "__main__":
+    import doctest
+
+    doctest.testmod()
+
+    # Interactive demonstration
+    print("=== Binary to Gray Code Converter ===\n")
+
+    # Demonstrate conversions for 0-15
+    print("Decimal | Binary   | Gray Code")
+    print("--------|----------|----------")
+    for i in range(16):
+        binary = bin(i)[2:].zfill(4)
+        gray = decimal_to_gray(i).zfill(4)
+        print(f"{i:7} | {binary:8} | {gray:9}")
+
+    print("\n=== Verification: Gray to Binary ===\n")
+    print("Gray Code | Binary   | Decimal")
+    print("----------|----------|--------")
+    for i in range(16):
+        gray = decimal_to_gray(i).zfill(4)
+        decimal = gray_to_decimal(gray)
+        binary = bin(decimal)[2:].zfill(4)
+        print(f"{gray:9} | {binary:8} | {decimal:7}")