For the best results, all seeds should first be soaked for several hours, dried out and then roasted. The brief version is the soaking makes the seed more digestible.
I've not heard of any toxicity issues related to any squash seeds and wouldn't expect any. I don't eat a whole lot of them though, for the reasons susan g noted. I've never kept butternut seeds to eat--they don't have as much "meat" as some other squash varieties. But plenty of others have, and here's one popular reference for healthy eating, Livestrong: http://www.livestrong.com/article/270654-butternut-squash-seeds-nutrition/ Like almond pancake, I've seen some edibility mis-steps--but squash seeds are not among them.
It is highly improbable that any harm could come from the squash seeds. If you are concerned, buy organically grown squash (and you should anyway). Only consideration for me is answered above -- do people enjoy them? Commercially available pumpkin seeds sold for eating are from varieties of pumpkin that are grown primarily for the seeds -- more crunch, I believe. There's a Lady Godiva pumpkin that was developed to have 'naked' seeds -- they don't have the outer coat, so they're more appetizing.
So some people eat them & find them delicious, like a lot of people do with quite harmful, so called foodstuffs....this does not answer the initial Q....I still don't know if they are edible, doing some subtle damage, or if eating them is advisable - guess I'll look elsewhere...
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