I've covered tons of chipboard. Depending on the project I use a number of different things. Tombo has a white glue which works well
http://www.happynscrappin.com/toligl.html , also, a cheaper option is to use glue sticks. I've also used Mod Podge which some people like and some don't. If you are giving to a child once you're done, I suggest covering the project with Mod Podge to protect it.
Also, if there are holes in the chipboard, I would cover one side of the chipboard with your paper, punch out the holes, then cover the 2nd side. Another thing, is although you'll trace your shape and cut it, the edges may not match up exactly. What I do is cut the paper a little wider than my actual chipboard glue the entire thing down then use a nail file (for acrylics- 97 cents at Wal-Mart) and file the edges straight down (best to do one side prior to gluing paper to 2nd side). It gives it a distressed look. You can also use sanding blocks, or just plain sand paper. It's VERY messy though. Get out the vaccuum after. I like distressing things so I always use ink to distress my edges when I'm done with each side too. HTH! Jenn