Ballistol works fine on food prep blades, after about half an hour the alcohol and scent evaporate completely, and it becomes oderless and tasteless. Due to the water miscible thing I stopped using it for long term storage though, after finding two hermetically sealed cans where the inside had rusted turning the ballistol an opaque red color :barf: I'm not sure if that's due to the water solubility (which goes away once the alcohol evaporates) but I didn't want to risk it.
These days I use Weaponshield CLP for all my guns and non-food prep knives, for kitchen knives I use either no oil and just keep them clean or put a light coat of camellia flower oil on for storage.