It's cute! I don't think you can ever have enough storage. Or at least I can't. :) I got several baskets from my baby showers and they were one of the best ideas for gifts.
You can use them for dirty laundry, blankets, toys, storing toys and clothes he's too little to play with, diapers and wipes if you don't have a changing table with storage. But mostly dirty laundry and clean laundry first.