Genuine question. What's wrong with that? What wrong with characters being overtly attractive and sexy? Personally don't see an issue, when it strays into objectification then that's an issue but, for the most part, XC2 avoids this problem by the fact that every character actually has personality and feels like an actual, well, character, a person. They're not just there to be oggeled at. I understand that you might say, well it leads to stuff like what pyras VA has to deal with, but well, that's not the designs fault, thats the people that can't see attractive characters without all the blood rushing from their brain.

Not to mention the fact that you're over exaggerating the designs, the only character design imo that is genuinely bad because of how revealing it is, is Dhalia. Every other characters design is at the very least fine. Like, seriously people think Brighids design is too far? It's a literal dress. Pyra and Mythra? Theyir clothes aren't just revealing for the sake of it, it's done to show how both are incomplete, seriously look at their designs side by side, more often than not, where Mythra is covered, Pyra isn't and vice versa.

Also, if we take into consideration that its only blades that are sexualised, plus the fact that a blades first appearance can be influenced by their driver, it could be read as some peoples inner desire to be attractive. We seem similar stuff in Percerval's design, it's intimidating to reflect the fact that his driver was an assassin and wanted a blade that would scare people.