The 'No Regrets' rapper, who asked his girlfriend to release a naked photo of him last year, confidently argued that any intimate footage he starred in would "look good".
"I don't mind. I'd make it look good, motherf**kers," he told Heat. "Nah, of course I'd mind, but it wouldn't be the worst thing."
However, Dappy stated that he is still angry about the hurt caused to Contostavlos by ex-boyfriend Justin Edwards, who confessed in July to leaking a sex tape filmed during their relationship.
"Justin doesn't want to see me," he warned. "He can't walk past me and think everything is going to be okay.
"He can't walk around being all free. It's not right. He might get a slap."
Despite publicly feuding with her relative in recent times, Contostavlos last week confirmed plans for N-Dubz to reunite in 2013.