Using sheepskins in the nursery is a hot trend. If you don't like the idea of using animal products but like the look and feel of sheepskin, consider the Pomeroy Throw.
It's made of 100% organic vegan faux fur lined with organic cotton twill fabric. They recommend spot cleaning to keep the lofty feel, or you can machine wash and dry which results in a more "matted look + feel." The Pomeroy Throw is 50" x 50", a good size for most small nurseries.