In the state it is in, it probably is not really useable. If you would like to use it sound like you have identified the likely options. Another consideration, is cut off the binding if worn and add a new border fabric on top of the old. You could sew or applique it down. Then I would requilt it following the pattern from the back and add a new binding. I know it will be hard to find a fabric that will not look new compared to the old. But may be a more useable size then just cutting off 8" on all sides.
Look forward to seeing pictures of what you decide to do.