I finished my first quilt for my God son five months before he was born and way before any of us found out my friend was having a boy. So there was a quilt ready for him when he came out of the womb. It became his favorite (until he got into superheroes and got Batman and Spiderman fleece throws).
I think these new "rules" are stupid. Makes it seem like any of us or babies we made quilts for are miracles because we somehow thrived with having blankets and quilts. Has any quilter here found that the quilt they made for a child ended up harming that child because the parents broke the new "rules"? And where is the evidence to back up these new rules? I want to see some research, darn it! Yeah, there's probably a few things to watch out for like not wrapping your baby in 10 layers of quilt or wrapping it around their little head, but that's just common sense.
Go make that quilt and don't worry so much about the rules some idiot came up with. The kid will be fine.
If you're still worried about flamibility, off the top of my head, I think Dharma Trading has a product to treat fabric with to make it more flame resistant.