This is the project that I'm working on right now.  I am making a baby blanket for a good friend of mine.  She told me recently that she is having a little boy, so I thought that it'd be nice to make her a blanket.

I found in my travels this beautiful veragated blue yarn that I had to bring home with me.  At the time, I  had no specific project in mind, but I thought it was absolutely beautiful.

I started working up a simple, basic crochet pattern of a granny square.  Something I've always been good at making since I learned to crochet.  I put it aside after a short time, since I had no real plans for it and didn't want to waste the yarn.  Once I learned of my friend's pregnancy, I decided to turn it into a baby blanket.

I have no instructions for this, other than the basic granny square pattern that I was given years ago, just expanded to add rows to make it large enough for the blanket size.  Below is the basic granny square directions.  Give it a try and see if you can come up with a design of your own.

Standard Granny Square

Materials Needed:
Worsted weight 4ply yarn, any colors.
Size G or H aluminum crochet hook
Yarn needle

Abbreviations Used for this pattern:
* Ch------Chain
* dc------Double Crochet
* slst----Slip Stitch
* sp------space
* rnd-----round
* rg------ring

Directions:
RING: Ch 4, st in first ch to form ring.

RND 1: Ch 3, 2 dc in rg. Ch 2, *3dc in rg, ch3. Repeat from * 2 times more pulling the ring taught as you go then working the yarn tail into the last 2 dcs. Ch2, slst in top of ch3.

RND 2: Sl st in the first 2 dc's and in the first ch 2 lp. Ch3, 2 dc in ch 2 sp, ch2, work 3 dc in same sp. Work the following 3 times (Ch1, work 3 dc, ch2, 3 dc in next ch 2 lp.) Ch1, join with slst to top of ch 3.

RND 3: Sl st in the first 2 dc's and in the first ch 2 sp. Ch 3, 2 dc in ch 2 sp, ch 2, work 3 dc in same sp. Ch 1, work 3 dc in next ch 1 sp. Ch 1. Work the following 3 times (Work 3 dc, ch2, 3 dc in next ch 2 sp. Ch 1, work 3 dc in next ch 1 sp. Ch 1.) Join with sl st to top of ch 3.

RND 4: Sl st in the first 2 dc's and in the first ch 2 sp. Ch 3, 2 dc in ch 2 sp, ch 2, work 3 dc in same sp. Ch 1, work 3 dc in next ch 1 sp. Ch 1. Work the following 3 times (Work 3 dc, ch2, 3 dc in next ch 2 sp. *Ch 1, work 3 dc in next ch 1 sp. Ch 1.* twice) Join with sl st to top of ch 3.

Continue rounds until you have the desired sized square.

Changing Colors:
To change colors at beginning of each rnd Fasten off after slst to top of ch3. Leave yarn about 3" long and weave end into work before adding new color. Slst new color in ch 2 lp and proceed onto the next rnd in pattern weaving end into work as you go.

Tip for Keeping each Square SQUARE:
As you work the dcs for the corners, pull them to the right for the first side of the corner and to the left for the second side of each corner. Since you are working in a ch 2 sp, the dcs should slide freely so that they are tight against the dcs of the previous round.

Finishing:
Work 3 sc in corner; work sc evenly spaced along top edge to next corner; work 3 sc in corner; work sc evenly spaced to next corner; rep from * once more. Join with slip st to first sc.

Sources:
http://members.tripod.com/Crafty_Lady/grannysq.html
http://www.michaels.com/art/online/projectsheet?pid=e02066