I love the hanky idea.
I'm considering doing something to mine. It's been 24 years this summer and it's at my parents house - just sitting in a box. My daughter has no interest in ever wearing it which is probably why I most held onto it. She says I should make a pillow or something like that and then donate the rest to a charity that makes little gowns for babies who are stillborn or die shortly after birth. I'm seriously considering it.