Has somebody got a function that will extend hashbytes to strings of arbitrary length? I want to apply it to procedure definitions. 

My basic idea is to split the string of type nvarchar(max) into chunks of nvachar(4000) and concatenate the results of HashBytes('MD5',chunk).

I can't imagine that this is not done yet.
If you insist, then

CREATE FUNCTION dbo.GetMyLongHash(@data VARBINARY(MAX))
RETURNS VARBINARY(MAX)
WITH RETURNS NULL ON NULL INPUT
AS
BEGIN
    DECLARE @res VARBINARY(MAX) = 0x
    DECLARE @position INT = 1, @len INT = DATALENGTH(@data)

    WHILE 1 = 1
    BEGIN
        SET @res = @res + HASHBYTES('MD5', SUBSTRING(@data, @position, 8000))
        SET @position = @position+8000
        IF @Position &gt; @len 
          BREAK
    END
    RETURN @res
END


BUT may be better to use this CLR function and hash data of any length into real MD5 hash?

using System;
using System.Data.SqlTypes;
using System.IO;

namespace ClrHelpers
{
    public partial class UserDefinedFunctions {
        [Microsoft.SqlServer.Server.SqlFunction]
        public static Guid HashMD5(SqlBytes data) {
            System.Security.Cryptography.MD5CryptoServiceProvider md5 = new System.Security.Cryptography.MD5CryptoServiceProvider();
            md5.Initialize();
            int len = 0;
            byte[] b = new byte[8192];
            Stream s = data.Stream;
            do {
                len = s.Read(b, 0, 8192);
                md5.TransformBlock(b, 0, len, b, 0);
            } while(len &gt; 0);
            md5.TransformFinalBlock(b, 0, 0);
            Guid g = new Guid(md5.Hash);
            return g;
        }
    };
}