Cultivation/wuxia manhua. No realism here.
As for the clothes, the artist is just very cultured.
No no no. Even if cultivation world, think, that clothes will be easy to see what under if the fight, fly, jump and many cultivation do. Not only that, many cultivation world settings is woman value purity much. Not only that, that clothes is very thighs that make it easy to see body line. Also, that Loli wear that panties, if not for seduce man, than it's must be to trap a man.