Multi-Functional, Convertible Blanket

A multi-functional, convertible blanket that can be used in a blanket configuration or in a wrap configuration. An insulated blanket panel retains first and second hand-receiving structures, such as insulated pockets. Each pocket has a secondary opening between an entrance and an end such that a hand can be selectively retained within the pocket or passed at least partially through the secondary opening. A connected location disposed along the secondary opening can separate the secondary opening into first and second segments for separately receiving the thumbs and fingers of the wearer. An outer wall of each pocket can be formed by first and second overlapping panels with the secondary opening comprising a passage therebetween. An integrated storage pouch with first and second shells is fixed to the blanket panel for storing articles when in a retracted configuration and for storing the blanket panel when in an extended configuration.