The Moonshine Tip is danced naked. (The exception: body jewelry, and shoes/boots/sandals/socks if the dancer feels they're necessary.)
The history of the Moonshine Tip is waiting for someone knowledgeable to fill in. On 5/15/12, in an email to Allan Hurst, Kathy Yhip said "...the very first Moonshine tip was in Phoenix (1998) - i need to look at my bolo to tell you the year. The very first convention where a Moonshine was scheduled was Albuquerque (1992). i am not aware of any previously (spontaneous/scheduled) moonshine tips."
7/11/08 Email Thread On Moonshine: From An Email Thread On The IAGSDC Mailing List On 7/11/08 by Harlan Kerr, Bill Eyler, Paul Waters, Pamela Reed