After denying reports that she may have a sex tape in circulation, it appears that Iggy Azalea does, in fact, have a sex tape.

The Aussie rapper's attorneys have come out and said that their client may be in the video. However, if it is her, then she was underage, which puts the kibosh on selling the tape.

Well, not quite.

Azalea's ex-boyfriend, up-and-coming Houston rapper Jefe Wine, who shot the video, says that she was definitely over 18 and was fully aware that they were making a sex tape.

If you are confused by all of this, you are not alone.

Wine appeared on TMZ to explain his part in this scandal.

Apparently, while he was hanging out in a Miami studio, someone "swipe" the rapper's hard drive, which contained the alleged video of him and Azalea doing the horizontal mambo. Wine didn't file a police report and claims that he didn't give the footage to Vivid Entertainment who are now trying to sell it.

Without the 'Fancy' rapper giving the co-sign on the tape, it will most likely never get released. Especially, since Azalea's career is at its peak right now. The last thing she and her record label wants is a sex tape to derail her success.

But what do you think? Will this sex tape help or hurt Iggy Azalea's career? Tell us in the comments below.