The textbook definition of the word Naked is- bare of any covering, overlying matter, foliage or the like; without clothing or covering.
In our world, there are many suggested behaviors or societal expectations and perceptions that we are consciously and subconsciously influenced by, which affects how we show up in this world. It affects how we "do" life. Most often, it causes us to focus on more of our external presence than the internal architecture that greatly informs who we are and what we are and what we are uniquely and divinely designed to contribute to the world in which we live. What begins to happen as a result of not being aware of our inner self (who God created us to be) we take on the superficiality of the things around us that are propagated to support the agenda of someone other than ourselves. This causes us to build a system of falsehood and we then become unfamiliar with who we are authentically. We get into situations and align ourselves with people who are not congruent with our purpose. This in many fashions is "life." We are allowed to make mistakes and trip up, start over and try again. But we are also given brilliant minds and the power of free will which is about choices, decision-making. We get to liberate ourselves, through making choices. The choice to live in your purpose, which is where you find your joy and peace, can only be arrived at by being aware of the power in your authenticity. Your authenticity is often trapped beneath layers of "stuff" that you have taken on to coexist in a superficial world.
So the removal, or stripping away of this "stuff" to get to who you are authentically and to live on purpose with purpose in your hand-crafted God-design, is the process of being Naked.