No. Placed there the command \sloppy has no effect:
\documentclass{article}
\usepackage{hyperref}
\usepackage[width=7cm]{geometry}
\begin{document}
If you are interested to know the details,
please contact me at {\sloppy
\href{mailto:asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}
{asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}}.
If you are interested to know the details,
please contact me at
\href{mailto:asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}
{asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}.
\end{document}

The command \sloppy only works with complete paragraphs, so one would need to write
{\sloppy
If you are interested to know the details,
please contact me at {
\href{mailto:asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}
{asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}}.
\par
}
or use sloppypar. However, this is often not satisfactory. Some discussion may be found in l2tabu. In your case, I suggest you use
\url{asdfkoafdkfaldfkafsdfkdf@kdsoffkdlfasdfjaldf.xxx}

Hyperref should be able to deduce the link type and it provides more break points LaTeX can use. For a more realistic example, where there are more .'s in the email address, this gives rather good results:
If you are interested to know the details,
please contact me at
\url{asdf.koafdkfa.ldfkaf.sdfkdf@kdso.ffkdlfas.dfjaldf.xxx}.

\sloppycan work in a word scope. I did not know it must be in a paragraph scope. – Click Me Sep 3 '12 at 7:38