Bayonetta was largely conceived as the ideal woman in the game's male creator's eyes, and the gimmick about stripping to attack is some grade A pandering. I would agree that Bayonetta is less frustrating than Shantae from a feminist perspective, and certainly there are far worse perpetrators out there (even Samus is honestly problematic, as making her a strong, usually-brave warrior and hero can only make up for so much objectification and fanservice), but Bayonetta deserves her fair share of flack for blatantly pandering to thirsty boys, as well. I'm a bit surprised someone as aware of the issues of female representation in video games would even like her as much as you seem to, honestly.
To me?
Yes, there's some issues with Bayonetta clearly. Namely there are people who are gonna turn what she is and does on it's head and still pander. And you seem to be a bit confused about her origins and nature yourself.
HOWEVER...
She was designed by a female artist for one. So therefore her look was created by a woman who wanted to create a female who could represent female empowerement through sexuality and freedom of sexuality.
And that's what Bayonetta is actually about. It's about female empowerment through sexuality.
She's in control of her sexuality and that's the difference in her and other sexy female video game characters created by men. Often times those characters have no agency in their objectification or sexuality.
Bayonetta is in full control of her objectification. She has agency in her situation. It is her strength. Her womanly power. She relishes in being sexy and powerful. It is a tool that she uses to defeat her foes just as much as her actually weaponry.
It's not just a female character who is ''WOOOOO I'M SEXY LOOK AT ME WOOOO!"
There's not thing wrong with a female character being sexy if designed by a male or FEMALE.
The problem is so often these characters have no control or agency in their designs or objectification. Bayonetta is one of the very few examples where her sexuality and the sexiness of her design is all in HER hands in HER games and is part of her POWER. It was DELIBERATELY designed that way.
Yes, some men are gonna use her and that as pandering, but that's gonna happen irregardless. It happens to characters like Isabelle for god sake.