Are you planning to make individual blocks and chenille cut one side and the other side would be a denim rag quilt? That would work, the stitching for the chenille side would "quilt" the denim side and then just rag the denim seams? It would take a lot of clipping and be VERY heavy. If you make the blocks large, it would cut down on the clipping. I always do my clipping after the quilt is sewn together. I don't think you could make the chenille side whole because the seams would interfere with ragging the seams on the denim side. Have you thought about the squares might be too heavy for your machine with all the layers?