Sheeran spoke with ET's Cassie DiLaura on the pink carpet at the Papp László Budapest Sportaréna in Hungary, and he opened up about his 1-year-old daughter, Lyra, whom he shares with wife Cherry Seaborn.
"She's great! She's walking, she's talking. She's at my parents at the moment and having a good time," Sheeran shared with a grin.
When asked about what her first word was, Sheeran said, "You see, I'm not sure. Because been saying 'dad' for awhile, but pointing at random s**t. So yeah, I'm not sure."
As Sheeran's little girl spend time with her grandparents to allow the musician to attend the event, Sheeran said he was excited to make the most of his time at the show -- regardless of whether or not he took home any trophies
"Whatever happens, happens. I love being at these things, I love performing at these things. If I don't walk away with anything, it's all good," he said.
Reflecting on their famous bond, Sheeran shared, "She's a very, very good friend of mine. I've known her about 10 years and it's just nice to have someone in the music industry who goes to the same sort of things."
"We're both the same age, we both write songs from our heart, and yeah, it's a pleasure knowing her," he added.
As for the rumors that Swift might feature on a remix of "The Joker And The Queen," Sheeran played it coy and refrained from confirming or denying anything.
"You know what? It's nice to have surprises in life," Sheeran said with a smile.