Moonknight destroys Moonshade by sticking his adamantium staff into his torso and 'activating its conductive charge' thus making him explode.

Unfortunately just about all of 'Marc Spector: Moonknight' is a waste of time after the issues in the mid 20's of the run with poor writing and terrible manga-esque art that had become regular in alot of Marvel titles at the time.

Best go back and read the original run or the current one if youre after decent Moonknight stories.