Iceblossom

It's whatever you want to do to use up/get more fabric in your top. I prefer bias binding and usually do the continuous loop method, but other times I do other things whether that's just going on the straight of grain or I've completely pieced bindings before with pretty small units. But I "cut and sew straight" that is on the grain and then cut on the diagonal, so I assemble the binding like any other strip pieced unit.

For one of my current scrap tops that will be a heavy use quilt, I'm going to use up leftover pieces from other projects, Each side should be most of one fabric, I'm hoping I have enough long pieces that there will be 4 total but they will be offset so each will go around a corner, not just one fabric to a side. I can always put in a piece in the middle of a long side to get the effect I want.

edit: Often the units I'm using up in my bindings are leftovers from cutting the top so are based in whatever sized units that was. One rather nice effect is to take a longer piece of a dark solid and periodically piece in narrow bits of colors, can look great on an Almost Amish or more modern look.

Here's the only picture I can think of showing one of my pieced bindings: