Ok, onwards to testing the felt construction. I'm just using rectangles here for simplicity's sake - the final design will be some cute critter (probably a hedgehog).

First, the back piece of felt, just snuggled onto the connector:

And add just a little diffusion so the three LEDs aren't quite so distinct. (Just a little bit of poly-fil stuffing.)

I just used a quick and dirty running stitch to attach the front felt rectangle to the back rectangle, encasing the board and the diffusion. I'll do something neater in the final design.

(Looks like a ravioli to me.)

And again a quick test:

Wheeeeee! We have a glowing ravioli!

I'll finish up the final character design next, and then start cutting some felt to shape. It's looking like I may need to shift the placement of the LED sequins up or down relative to the board, depending on the final shape of the critter. And maybe go back to using 5 sequins. We'll see.