I used to throw out all of the paper chads my office generated, but one day my little daughter came to work and saw me open up a hole punch. She saw all of the colorful chads and asked if she could take them home. I didn't see any real harm in it, so I put them in a plastic bag for her.
The next day, she brought me an art project she was working on. She used those paper chads like mosaic tiles, creating larger images like flowers and abstract designs. I thought it was a great use for something I'd been throwing away for years.