Careful, with the right arguments from Google the EU might just make this mandatory in the name of "security".
And if they prohibit it, Google will just pay a several billion dollar fine. At the end of the day, it's just a cost of doing business. Something like an extra 2% tax raise or something. Whatever. Dividend time.
The EU is at the forefront of wanting only "real people" online. So no, if anything digital identity is squarely within what would appease the EU