Well, it's clean now. It's obviously not going to felt, so just look at it as a resource
Insoles, boot liners/ tent shoes, jacket linings, shoulder warmer, fold it and tack it into a pad for a seat when out, line oven gloves,
or make up those mug coasters with orange peel, cinnamon stick and cloves in them for the season, or just patchwork it.
I end up with a tremendous amount of wool offcuts (right now they're blue, from making blue bonnets) I've been cutting the scraps into regular sized pieces and they'll become a patchwork blanket one of these days
Old thin blankets like those used to be darned, split down the middle and the edges turned to the middle so that the heavier weight was still useful. Often they were then used to fill patchwork quilts.
If all else fails, put it into one of the charity clothing bags and they'll sell the stuff to get some cash back from the ragmen.
cheers,
M