Pam made some excellent points. As much as we may love our family and friends we can not control how they will act in the future. It is much better to do this in a business like manner than just as "friends". It keeps the relationships solid. Following Pam's advice is a great way of doing it.
I work with lawyers and see friendships and family fight about the most stupid things. No need to do that if it can be prevented in the first place.
Your quilt is amazing. Please be sure to put it in the will with what you want to happen to it when you pass. Makes it clear to everyone.