Preheat the oven to 350°F. Grease an 11x7-inch baking dish with butter.
Melt 2 tablespoons of butter in a large skillet over medium heat. Once melted, stir in the squash, onion, and 1 teaspoon salt. Cook, stirring occasionally, until softened, about 8-10 minutes.
6 tablespoons unsalted butter, 3 pounds yellow squash, 1 medium sweet onion, 2 teaspoons kosher salt
Transfer the squash mixture to a colander set over the sink and let drain for 5 minutes.
In a large bowl, mix the eggs, sour cream, mayonnaise, half the cheddar cheese, chives, remaining 1 teaspoon salt, and pepper.
2 large eggs, 1 cup sour cream, ½ cup mayonnaise, 8 ounces freshly shredded sharp cheddar cheese, 1 tablespoon chopped fresh chives, ½ teaspoon ground black pepper
Add the squash and gently fold to combine.
Pour the squash mixture into the prepared pan. Top with the remaining cheddar cheese.
In a medium bowl, melt the remaining 4 tablespoons butter. Stir in the crushed crackers. Sprinkle the crackers evenly over the top of the dish.
2 sleeves round buttery crackers
Bake for 20 minutes or until the filling is warmed through and the topping is golden brown. Let cool for 5 minutes, top with extra chives, if using, and serve.