One of my first quilts was done this way. I printed off Sesame Street characters with letters of the alphabet onto muslin that had been ironed onto freezer paper.
Then I colored all 26 pages/little panels very heavily. I put a paper towel over them to heat set the color with an iron. The paper towel soaked up some colors more than others and then I would re-color that area and heat set it again.
Word of warning--when the quilt is washed, don't let any undiluted detergent get directly on the colored areas. It will strip the color right off or at least Era will. But I re-colored it again and heat set it and all was well.