Check out Favourite Favicons from Delta Tango Bravo to see some great examples of the smallest representation of a site.
Also, note the use of CSS to make each image look rounded. Each favicon displayed on screen has a background attribute applied to the containing anchor element, which places it within a white circle. What a great way to present many images in a clean, stylish manner.
Who knows, maybe I’ll be inspired to create one for this site.