Why not draft a circle the size you like and raw edge the peace sign to it? You could layer a backing, batting & top & stitch 1/2" all around the outside edge. Do the same with the peace sign but when doing the 1/2" you would also be appliquéing it to the quilt. Once that's finished go back in & quilt a grid or circles that would be needed for the type of batt you use. Clip all the outer edges & wash so that it "rags". Here's a colouring page for a peace sign.
http://www.coloringcastle.com/pdfs/misc/peace_sign.pdf