Butter a 2-quart baking dish. Bring 4 cupswater to a simmer in a large saucepan.Gradually whisk in grits. Reduce heat tolow; gently simmer, stirring often, until gritsbegin to thicken. Continue cooking, stirringoften and adding water by 1/4 cupfuls if toothick, until tender and very thick (about5 cups), about 1 hour. (The amount of waterand cooking time will vary depending on thetype of grits used.)
Remove pan from heatand let cool slightly.
Meanwhile, cook bacon in a large skilletover medium heat until crisp, 5–7 minutes.
Transfer bacon to paper towels to drain.
Preheat oven to 350°.
Whisk eggs andcream in a medium bowl; whisk into grits in3 additions. Stir in 1 3/4 cups cheese, chives,paprika, and bacon. Season to taste withsalt and pepper.
Transfer grits mixture toprepared dish and smooth top with a spoon.
Sprinkle remaining 1/4 cup cheese over.
Transfer baking dish to a foil-lined bakingsheet and cook until puffed, golden, and justset in the middle, about 1 hour.