I have thought about doing this too. One day, I will and will have no guilt. I figure that I will never wear it again, my daughter got married years ago and had no thoughts about wearing it, so it is basically gathering dust and taking up space.
A few years ago, I made a wallhanging out of my mothers vintage hankies. At first I was leary about cutting them up but after the fact, very glad, because I look at that quilt all the time and enjoy it (instead of having them in a drawer).
Do you have any photos of the quilt you saw. I would love to see them if you do!