We converted ours to open shelves, however it is between sunroom and dining room so privacy or noise issue.

A. Pull out the glass and box it in to make a shelf/storage area

B. Box it in and paint a scene on the very back panel, adding elements in between that will seem closer to the window. For instance, A wooded scene in the distance, red riding hood in the middle ground, and a bush with the wolf's tail sticking out closest to the window. Or, pick the scene of your choice. It could be LOTS of fun. Don't forget to add an LED strip at the top, or another form of illumination. Maybe something that is adjustable so you can use it as a nightlight, but still have it more brightly lit during the day. Do an image search for shadow boxes for inspiration:

I had a similar situation in a bathroom. No matter what I did to disguise that window (wallpaper, mirror, shelves), it always looked like a window mistake. I'd tear it out and drywall, as others have suggested.

In the meantime I would move the changing table away from the glass. Lots of good suggestions above.