It is rather thin, but it's pretty sturdy. I made a few dishcloths with it and they've been fine. It splits when you knit so you have to be careful you don't keep splitting the plies and making your knitting look rough and messy. Personally I think I'd use some other yarn for a baby blanket though.
BTW..I don't like it for dishcloths as it's not that absorbent IMO and I've been meaning to try it for dusting..