On one side I agree with you, these changes will definitely make things more unpredictable and fun, and it will be more challenging for teams to tie all their games, and you'll have to be strategic etc all those things you said i agree
But on the other side, this makes the HCA even more dominant, and I'm not saying this because you happen to have it, but in general, i believe that the HCA in national tournaments is such a big advantage it's basically pointless to play for the gold.
This was the case with Italy's NT a couple of seasons ago, Spain's u21, Spain's NT and Israel u21... (it's not like that ALL the time, but there's a reason if you won 2 WC but didn't make the finals in the EU tournament)
And with this "added difficulty" you're only opening this gap even more, cause not only the consolation winner (or best placed European team) will be handed the best group and have the HCA, but they will most likely also have a ent advantage since they're going to be the only team that can easily tie all games
Also, with this added difficulty it is more likely for big nation to mess up and go straight to the consolation, which then means that most likely they'll have the HCA, which basically makes that EU championship a very boring tournament
and so on..