It allows you to crop an image, or it will autocrop for you...you can also choose scrollable wallpaper (so it scrolls as you slide between pages of your launcher) or non-scroll (static image as you slide between pages)
It works great for the pics I already have, but I haven't tested on a larger image to see if it will resize properly. Still worth a look as something different than Wallpaper Set and Save or manually setting your wallpapers.
Finally got around to trying out Wallpaper Switcher (from gaagaa) and it's pretty awesome. I don't like how it only tells me the EXACT folder it finds images in and not the whole path... but that really just means its time for me to clean up my ridiculously messy Sd card again.
I have it switching every 2 min so I can browse my wallpapers while I use the pc, wonder if my battery will die in an hour now?
I really like the wallpapers in some of the Windows 7 themes, so I did some modifying. Here are 1200 X 1024 wallpapers perfectly sized for the Nook Color if anyone wants.