In a large skillet, cook bacon until desired crispness is reached. Remove from the skillet and set aside on a paper towel lined plate.
Remove all but 2 tablespoons of bacon grease from the skillet. Add diced onion, garlic, and butternut squash and sauté until squash and onions are starting to caramelize.
Bring to a slow simmer, cover the skillet, and allow to simmer until broth is reduced slightly, squash is fall-apart tender, and cashews are pale and plump.