"If chairman Kim chooses the right path, there is a future brimming with peace and prosperity for the North Korean people," he said after Friday's talks in Washington with South Korean Foreign Minister Kang Kyung-wha.
Mr Pompeo urged Pyongyang to take "bold action to quickly denuclearise".
Media captionHow to talk to North Korea - advice from three North Korean experts
But he stressed that this would require a "robust verification" programme by the US and other nations.
During his surprise visit to North Korea this week, Pyongyang released three US detainees.
Daily life in the two countries couldn't be more different.
Media captionFour defectors talk about what life is like in North Korea
After the end of the Korean war in 1953 the South, an ally of the US, embraced a capitalist philosophy. It has developed into one of Asia's most affluent nations.
A government-sponsored industrial push in the 1960s led to huge corporations like Samsung and Hyundai being created.
Key figures:
Population:51.2m in South Korea; 25.4m in North Korea
GDP: $1.4tn - South Korea; less than$20bn - North Korea
Life expectancy: 82 years - South Korea; 70 years - North Korea
South Korea is one of the world's top 20 economies, with GDP of $1.4tn (£1tn).
By contrast, North Korea's GDP is less than $20bn, placing it well outside the top 100 economies.