It's worth noting that Android already allows such things and there has been no malware apocalypse. In all the years Android existed I've never encountered someone with a malware filled phone. People stick with the default app store and are fine.
The entire history of Android is filled with malware stories. Google has gotten better about moderating their PlayStore, but there have been plenty of flashlight apps or similarly dumb apps that are just rootkits, bitcoin miners, or more malicious forms of malware.
Agree about the EU though.