When did greyshirt become blueshirt?

Different concepts. Blueshirting is much more shady IMO.

This

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Especially when that UT kid said the he is very aware that he is being blueshirted for the sole purpose of being able to skirt around recruiting rules.

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It isn't skirting the rules. It is using the Blue Shirt for it's intended purpose.

It's 2015, so if I had to guess, probably because blueshirt is more PC than greyshirt.

Grey shirting is a recruiting term that is not as commonly used as the term redshirting. A grey shirt is an incoming college freshman who postpones his enrollment in classes until the second term of his freshman year. This means they don’t take classes until the winter term. The NCAA allows college athletes five years to complete four years of eligibility after initial enrollment.

When a grayshirt puts off his enrollment, he’s extending his eligibility past his senior year for another term. Grayshirting is most commonly used in football. By delaying enrollment until the winter after his senior year of high school, a football player can play the fall season one year after his graduation date.

Blue-shirting: This scheme was originated by New Mexico State but has not been practiced widely around the nation. Here’s how it works: Officially, a player arrives in the summer as a walk-on. Once football practice begins, he’s awarded a scholarship. The school is allowed to count the scholarship forward — against the 2015 class — but the player can play immediately.
There’s a big catch: The student-athlete may not have been recruited, as defined by NCAA bylaws. That means no official visit to campus, no in-home visits from coaches, no signed National Letter of Intent or athletic aid.

Getting on a moral high horse concerning recruiting is laughable. However, asking a kid to sit out then arrive to campus with a scholarship does seem to be higher up on the ladder than asking a kid to ignore the normal recruiting process show up with the intent of paying his own way but a promise of scholarship that takes advantage of a loop hole in the rules meant for true walk ons.

Blue shirting is where you technically avoid "recruiting" a player, they walk on and then are given a scholarship once enrolled that doesn't count against the 25 limit until the next recruiting cycle. It is a way to forward count a recruit as opposed to back counting. Eventually though, you have to pay the piper.

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The intended purpose of the blueshirt is to skirt the rules.

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It is fully within the rules.

Just like a certain SEC school that uses medical scholarships as a dumping ground.

So blueshirting is the NCAA recruiting equivalent of the Saints and the salary cap.

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We haven't had many of those in the last few years, but regardless, I'm sure you and others expressed shocked moral outrage about it back in 2008-2010.

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I didn't name any names.

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If it counts against the next year's class, how had Tennessee done it two years in a row? Wouldn't their blueshirting last year have restricted their spots this year?

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If you can have them pay their own way for 2 years the scholly then does not count against any signing class, just the 85 hard cap (same as with any walk-on).

Several of last year's UT blueshirts are legacy players and were coming to UT no matter what. The families have the money to pay their way and will foot the bill until the beginning of the player's junior year, where they will not count against a signing class but only against the 85.

The blueshirt from South Doyle this year may get a scholly this fall, which would count against their 2016 class.

It is my understanding that blueshirts can be recruited, there are just certain things that cannot happen. They can come to the school on unofficial visits (pay their own way) but not on an official visit (school pays for the whole weekend). Coaches can talk to the kids on UOVs and at the player's high school. However, they cannot visit the player at home.